Dubai Property Market News: New Rule for Sellers Introduced

In a significant regulatory shift, the Dubai Land Department has mandated that proceeds from property sales to overseas sellers must now be issued via cheques made out in the seller’s own name, as listed on the title deed. 

This means Power of Attorney (PoA) holders can no longer receive or clear payments on behalf of sellers. It’s a pivotal move that reinforces transparency and marks a new chapter in the evolution of Dubai’s real estate market.

A Strategic Pivot Towards Global Credibility

Dubai’s property market has enjoyed tremendous popularity among overseas investors, who now continue to buy units at rates exceeding 2024 volumes. This new rule is more than a procedural tweak, it’s a strategic credibility enhancer.

Financial regulators worldwide are tightening their definition of trustworthy transactions and Dubai’s move aligns perfectly with this global trend. It bolsters investor trust by ensuring that funds flow from buyer to rightful owner, unmediated and auditable.

Behnam Bargh, Managing Director at CRC Property touched on this new guideline stating:

“By insisting that banks accept cheques only in the seller’s name, Dubai signals an unambiguous commitment to streamline transparency, reduce fraud risk, and reinforce the direct link between legal ownership and financial settlement.”

Practical Impacts and Soft Landing 

Yes, PoAs remain valid for executing sales, but the final payment must match the name on the title deed . This ensures that the beneficial owner is clearly identified, and the transaction footprint is clean.

Expect changes across one key layer: compliant PoA issuance. To meet DLD’s expectations, PoAs now can, and should, be authenticated directly via Dubai courts, even remotely via Zoom and tied to verified bank accounts within the UAE. 

Implications for Investors & Brokers

For Investors:

• You’ll need a UAE bank account as seller for each transaction.

• PoAs remain allowed but you’ll need clear legal attestation ensuring proceeds go to you.

• Prepare for a more straightforward and scrutiny-ready payment clearing process.

For Brokers:

• Double down on compliance: vet PoAs, confirm seller account details and ensure documentation is clean.

• Anticipate higher demand for administered PoAs and containerised escrow-like systems to support overseas sellers.

Final Insight: A Step Ahead in Institutional Maturity

Dubai’s policy marks a significant leap toward heightened institutional maturity. It's a small operational adjustment with major signaling value, speaking volumes about Dubai’s deepening sophistication as a real estate investment hub. For overseas investors, this spells confidence. For the broader ecosystem, it means accountability. And for Dubai, it fortifies its position as a transparent, reliable and trust-driven global market.

In an era where certainty is capital, Dubai just made a brilliant investment in its own credibility.