Dubai escrow accounts: checks before an off-plan transfer

Before transferring a Dubai off-plan purchase instalment, reconcile the contract’s project and unit details with the bank details supplied. Dubai Land Department (DLD) says amounts collected from off-plan buyers are deposited in the project’s escrow account. A familiar developer’s name or the word escrow in an email does not replace checking the link between that project and account.

The original worksheet below focuses on reviewing a payment request. The related guides cover general project checks before reservation and budgeting instalments. Begin reconciliation well before payment is due, and continue tracking contractual deadlines while questions are resolved.

Take the project name and identifier, developer’s contractual name, building or phase and unit identifier from the agreement. Keep the payment schedule and current request alongside them. Reconcile the identifiers used in the documents rather than relying on the marketing name.

DLD’s Project Status Enquiry can be searched by land number, project number or project name through its website or Dubai REST app. The service provides completion-percentage information and project details. Save your own lookup result and check date, then compare the returned information with the contract.

Articles 7 and 9 of Dubai Law No. 8 of 2007 provide for an escrow account opened in the project’s name. Where a developer has multiple projects, each must have its own account. Do not accept another project’s details as evidence of the account associated with your agreement.

Obtain the exact beneficiary name, bank name, account identifier or IBAN and documentation linking the account to the selected project. If that link or any detail is unclear, request written clarification through the developer’s official channel, involving the account trustee or DLD where needed.

Use separate worksheet fields for the project, unit, instalment number or purpose, amount, currency, due date, beneficiary and account details. Record the supporting document beside each field. Keep the agreed payment schedule separate from the actual transfer instruction.

For new or changed bank details, verify the change through an official contact already identified independently. Do not make a reply to the change-notification email your only check. Retain the explanation with the corrected document and make clear in your records which version of the details is current.

Hypothetical example: the agreement names Project A, but the payment email attaches account confirmation for Project B. Both are associated with the same developer. The developer’s name may match on the worksheet, while the link between the project and account remains unverified. Treat that as a separate discrepancy requiring clarification.

The next step is to obtain the account details for Project A and a corrected request, then compare them with the agreement again. This is not a real client case, and a discrepancy does not automatically establish fraud. It demonstrates why the project identifier needs checking alongside the developer’s name.

Retain the bank receipt, payment reference and developer’s confirmation. Compare the amount transferred with the credit allocated to the unit and instalment on your buyer statement. If they differ, request an itemised explanation covering amount, currency, fees and accounting date; do not automatically label the difference an exchange-rate loss.

Article 12 of Law No. 8 of 2007 allows depositors or their representatives to access their own accounting records and request copies. For reconciling your payments, establish which institution provides the relevant statement and what identification it requires.

Use the DLD lookup to check project identity and status. Keep the actual transfer instruction, beneficiary bank details and contractual due date as separate checks. Mark information absent from the lookup or unclear as unverified and request appropriate supporting documents.

Alongside the escrow check, review the payment plan, handover conditions and contractual treatment of delay separately. Matching account details does not answer those questions. The worksheet supports documented reconciliation of a particular payment request; it is not a return or delivery promise.

Keep: 1. the contract’s exact project and unit details; 2. a dated DLD lookup; 3. account confirmation linked to the project; 4. reconciled amount, currency and due date; 5. checked beneficiary and account details; 6. written resolution of discrepancies; 7. follow-up of the credit after transfer. Assign a document and responsible person to each row.

Is a PDF labelled escrow enough? Establish both the account’s link to the project and the document’s origin. Is finding the project at DLD enough? Reconciling bank details with the payment request remains a separate task. What about missing information? Mark it as unresolved and request an answer through the appropriate official channel before the due date.