When budgeting for a Dubai property, the mortgage payment is only part of the picture. Annual service charges can materially affect your true cost of ownership — and they vary widely between communities and buildings.
How service charges work
Service charges fund the maintenance of shared areas, security, cleaning, and amenities. They are typically calculated per square foot per year and are set with reference to RERA-approved budgets. Premium towers with extensive amenities usually carry higher charges than simpler buildings.
Factoring charges into affordability
A unit with a low price but high service charges can cost more over time than a slightly pricier home with modest fees. Convert the annual charge into a monthly figure and add it to your mortgage payment to see your real monthly ownership cost before you commit.
Compare on total cost
When comparing properties, look beyond the sticker price and mortgage payment. Ask for the current service charge rate, check the community's track record on maintenance, and factor the full annual cost into your decision.