Agent Commission
Agent Commission: The 2% (plus 5% VAT) fee paid to the real estate agent on every Dubai property purchase, typically by the buyer.
What is Agent Commission?
Agent Commission in Dubai is the fee paid to the real estate brokerage for facilitating a property transaction. Standard practice for ready property purchases is 2% of the purchase price + 5% VAT, totaling 2.1%. The commission is typically paid by the buyer (though convention varies — some markets see the commission split). For off-plan purchases through the developer, the commission is typically paid by the developer to the broker (no buyer outlay). The commission must go to a RERA-registered brokerage (verified via 5-digit RERA broker ID); freelance unregistered "agents" are illegal in Dubai. The commission is typically paid via manager's cheque at the time of MOU signing or DLD transfer. Brokerages occasionally negotiate lower rates (1.5%) on high-value transactions but rarely go below 1%. Commission is in addition to all other closing costs (DLD 4%, registration, NOC, etc.).
Example
A buyer purchases a AED 1,500,000 apartment. The agent commission is 2% × 1.5M = AED 30,000, plus 5% VAT (AED 1,500) = AED 31,500 total. Paid via manager's cheque to the brokerage at MOU signing.
FAQ — Agent Commission
Can I negotiate the agent commission in Dubai?+
Yes — 2% is standard but negotiable. On serious offers or high-value deals (AED 5M+), many agents will close at 1.5%. The buyer benefits most when there's only one agent involved (no co-broking split).
Who pays the agent commission for off-plan purchases?+
For direct purchases from the developer's sales office, no buyer commission (the broker is paid by the developer, if used). For off-plan resale (assignment) through a broker, the buyer pays 2% commission as normal.
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Last refreshed: 2026-05-26