Completion date: A key aspect when buying property in Dubai
The completion date is a crucial factor when planning and buying property, especially in dynamic markets like Dubai. It refers to the date on which a property is completed and ready to be occupied by buyers. In this article, we will take a closer look at the importance of the completion date, what factors influence it and how it can affect your investment decisions.
The importance of the completion date
The completion date is not just a simple time frame, but plays a central role in the entire property development process. It influences various aspects of the buying process, including:
- Financing: buyers often need to plan their mortgage payments from the completion date.
- Relocation: finalising the purchase and actually moving into the property are tied to the completion date.
- Contractual obligations: Building contracts and warranties are often linked to the completion date.
How is the completion date determined?
The completion date is usually specified in the property development contract. This date is based on various factors, including
- Construction progress: actual progress on site may affect whether the original schedule can be met.
- Weather conditions: Unpredictable weather can cause construction delays.
- Material availability: Bottlenecks in the supply chain can lead to delays.
What happens if there are delays?
If a project is not completed on time, buyers may have various legal options. They should check contractually agreed clauses relating to late completion. In many cases, compensation can be claimed or the buyer has the option of cancelling the purchase.
Preparing for the completion date
Successful preparation for the completion date involves several steps:
- Regular communication: keep in regular contact with the property developer to receive updates on construction progress.
- Financial planning: Calculate the potential financial impact of possible delays.
- Checking documents: Make sure that all necessary documents and authorisations are available before the move.
Illustrative example on the topic: Completion date
A good example of the importance of the completion date is the story of Jonas, an investor from Germany who invested in a new-build project in Dubai. The property developer had specified a completion date of December 2022. During the purchase process, Jonas kept in close contact with his real estate agent to monitor progress.
However, in August 2022, Jonas was informed that the work was delayed due to unexpected delivery bottlenecks. This information was crucial as Jonas had to adjust his financial planning. He anticipated additional costs to allow for any delays to the mortgage. Ultimately, the flat was completed in April 2023, forcing Jonas to rethink his relocation plans.
However, thanks to his extensive preparation and communication with the property developer, Jonas was able to successfully move into his new home and now realises that the investment was still worth it.
Conclusion
The completion date is an essential part of any property purchase in Dubai. Buyers should understand the importance of this deadline and prepare to overcome potential obstacles. Regular communication with the property developer and your own financial planning are essential to successfully complete the purchase process.
