New Rules for Overseas Investors Selling Property in Dubai

Foreign property owners selling real estate in Dubai must now comply with stricter regulations regarding Power of Attorney (PoA) and payments. These changes are intended to add more transparency and prevent misuse of the selling process.

UAE Bank Accounts Now Mandatory for Overseas Sellers

Starting this week, all overseas-based property sellers must have a UAE-based bank account to receive payments. Cheques can no longer be issued in the name of a PoA; they must be made out to the person listed on the property’s title deed.

According to Yash Trivedi, CEO of YOUAE Mortgages,

“This practice of issuing cheques in the name of a PoA holder will no longer be permissible. All payments must go to the seller named in the title deed.”

Previously, many foreign investors gave PoA rights to relatives or trusted agents to simplify the sale process. These individuals were able to receive cheques on the seller’s behalf, based on Dubai Court-issued PoA documents.

PoA Still Valid — But with a Catch

Overseas property owners can still assign PoA status, but it must now be done through Dubai courts, even via Zoom if needed. The PoA can represent the seller during the transaction, but payment must still be made to the title deed holder’s account.

An industry insider shared:

“Earlier, PoA procedures were complicated—requiring document verification by the Ministry of Foreign Affairs and extra steps if any details had changed.”

The Dubai Land Department’s new rule aims to simplify and secure the process by centralizing PoA approval through local courts.

Increased Interest from Foreign Buyers

Despite the regulatory updates, Dubai’s property market continues to attract international investors, with non-resident property sales increasing compared to last year.

This move is seen as part of broader efforts by UAE authorities to increase transparency and protect the integrity of real estate transactions.