Dubai Service Charges Guide

The ultimate guide to service charges for prime areas in Dubai

21 Aug 2019, words by Aneesha Rai in The Guides

Dubai Service Charges Guide

If you're planning to buy property in Dubai, there are a series of costs that you need to take into account before taking the plunge. A good thumb rule would be to account for an approximate one time cost of 7% of the value of your property as a buffer to manage your costs (This would encompass mortgage fees, DLD registration fees, trustee fees, etc.). Besides your monthly mortgage payments (if any), you also need to take into consideration the service charges of the building which are paid on an annual basis. Here's a guide to service charges in some prominent areas & developments of Dubai to be able to better estimate your costs of purchasing a home in Dubai.

What is a Service Charge?

A service charge is the cost of maintaining your property. This charge will usually cover maintenance, cleaning, and repair work in communal areas of the property. It also may include chiller fees. The service provider for these is usually nominated by the owner's association of the development. Please note that in some cases, some apartment developments charge different rates for inclusive balconies/ terraces, which means you may be expected to pay a lower charge. In addition to this, it is important to keep in mind that the service charges for most villa communities are charged based on the plot area. Jumeirah Golf Estates is the exception in this case & charges based on the built up area.

Besides this, you will also contribute a nominal amount to a 'sinking fund'. This sinking fund is used to help maintain the yearly service charge fees and prevent any major ups and downs in service charge fees. The funds are usually utilised in major repairs, especially for those communities that have district cooling units and need chiller replacements. It will also be used in situations where elevators need to be repaired/replaced and maintenance of facade cladding. 

Service charges by community

Al Barari

Upgraded Branded Furnished Dahlia Villa in Al Barari

Villa in Al Barari

Dahlia, 6 bedrooms

AED 10,500,000

Whether you decide to purchase an apartment in Ashjar, or one of the lovely villas in Al Barari, expect to pay AED 6.91/sq ft this year for your property.

Arabian Ranches

Upgraded Single row B1 villa in Alvorada with large plot

Villa in Arabian Ranches

Alvorada, 4 bedrooms

AED 4,400,000

The Arabian Ranches 1 & Arabian Ranches 2 areas have a very reasonable AED 2.73 and AED 2.41 rate per square foot.

Downtown Dubai

Two bedrooms apartment Burj Khalifa, Fountain View

Apartment in Downtown Dubai

Burj Khalifa Tower, 2 bedrooms

AED 5,100,000

Downtown Dubai is one of the most expensive areas in terms of service charges. However, most Emaar developments have a free chiller option, which makes you not have to worry about paying separate chiller charges per month. Expect to pay more for hotel apartments. Here are some of the more prominent developments & their respective service charges:

1. Burj Khalifa - AED 72 per square foot

2. The Address Dubai Mall - AED 41.35 per square foot

3. The Address Downtown  - AED 29.73 per square foot

4. 29 Boulevard  - AED 18.38 per square foot 

5. The Residences  - AED 16.65 per square foot 

6. South Ridge  - AED 15.80 per square foot

7. 8 Boulevard Walk  - AED 18.50 per square foot

8. The Lofts - AED 17.80 per square foot

9. Old Town - AED 21.75 per square foot

10. Burj Views  - AED 17.50 per square foot

11. Claren - AED 24.82 per square foot

12. Boulevard Central - AED 21.97 per square foot

13. Stand Point - AED 21.51 per square foot

City Walk

Luxurious upgraded 4 Bedroom Penthouse in City Walk

Penthouse in City Walk

Building 2A, 4 bedrooms

AED 11,000,000

Service charges in City Walk run up to AED 21.95 per square foot.

Culture Village

Stunning upgraded 3BR Apartment in Culture Village

Apartment in Culture Village

D1 Tower, 3 bedrooms

AED 6,900,000

An apartment at D1 Tower could set you back at AED 20.13 per square foot, whereas Palazzo Versace has a much more reasonable service charge at AED 9.71 per square foot.

Dubai Marina

Tastefully Upgraded 4 Bed Fully Furnished Apartment

Apartment in Dubai Marina

Al Seef Tower, 4 bedrooms

Price on Application

The service charges for apartments in Dubai Marina vary from building to building. Here are the most popular ones: 

1. Marina Crown - AED 14.00/sqft 

2. Marina Heights - AED 13.52 /sqft 

3. Marina Arcade - AED 13.21 /sqft 

4. Silverene Tower - AED 18.58 /sqft

5. Emirates Crown - AED 8.03 /sqft

6. Princess Tower - AED 16.93 /sqft

7. 23 Marina - AED 16.00 /sqft

8. Al Majara - AED 22.78/sqft

9. Al Sahab - AED 19.83 /sqft

10. Azure Residences - AED 20.10 /sqft

11. Bay Central - AED 21.56 /sqft

12. Botanica - AED 16.33 /sqft

13. Dorra Bay - AED 17.84/sqft 

14. Elite Residence - AED 15.00 /sqft

15. Emaar 6 - AED 14.69 /sqft

16. Le Reve - AED 18.00 /sqft

17. Marina Promenade - AED 23.29 /sqft

18. Marina Quays - AED 22.05 /sqft

19. Park Island - AED 20.27 /sqft

20. Trident Grand - AED 20.72 /sqft

DIFC

Luxury Penthouse Duplex in The Index Tower  DIFC

Penthouse in DIFC

The Index Tower, 4 bedrooms

AED 27,000,000

As DIFC operates in a different jurisdiction, the only available information on the Dubai Land Department's website is Index Tower. The rate is AED 24.40 / sqft. 

Emirates Hills

Immaculate furnished contemporary villa Emirates Hills

Villa in Emirates Hills

E Sector, 6 bedrooms

Price on Application

Service charges in Emirates Hills set you back AED 1.70 /sqft.

Jumeirah Beach Residence (JBR)

Ultra Chic brand new loft in JBR with Ain Dubai views

Loft & Duplexes in Jumeirah Beach Residence

Bahar, 2 bedrooms

AED 3,999,000

Apartments in JBR ask for the following service charges:

1. Al Bateen - AED 23.77/sqft 

2. Bahar - AED 18.7 /sqft 

3. Murjan - AED 15.3 /sqft 

4. Sadaf - AED 19.86 /sqft 

5. Shams - AED 16.68 /sqft

Jumeirah Golf Estates (JGE)

Modified and upgraded 5 bed Sienna Lakes Villa in JGE

Villa in Jumeirah Golf Estates

Sienna Lakes, 5 bedrooms

AED 7,500,000

The service charges for Jumeirah Golf Estates vary with each development:

1. Flame Tree Ridge - AED 5.01 /sqft 

2. Hillside - AED 3.33 /sqft 

3. Lime Tree Valley - AED 5.01 /sqft

4. Olive Point - AED 6.65 /sqft 

5. Orange Lake - AED 5.88 /sqft 

6. Redwood Avenue - AED 6.63/sqft 

7. Sanctuary Falls - AED 4.56/sqft 

8. Sienna Lakes - AED 4.6/ sqft

9. Sienna Views - AED 4.21 /sqft 

10. Whispering Pines - AED 5.94 /sqft

11. Wildflower - AED 4.11/sqft

It is the only villa community that charges service fees based on the built up area rather than the plot size. Additional charges also include AED 10,000 per annum for the house membership as well as an additional quarterly car park service charge.

Palm Jumeirah

Exceptionally upgraded and extended with infinity pool

Villa in Palm Jumeirah

Signature Villas, 6 bedrooms

AED 54,995,000

One of the most covetable locations, Palm Jumeirah's Signature villas have some of the most reasonable prices per square foot in terms of service charges. Here is a selection of developments and their corresponding service fees:

1. Marina Residences - AED 14.75 /sqft

2. Oceana - AED 24 /sqft

3. Shoreline Apartments - AED 12.29 /sqft 

4. Grandeur Residences - AED 20.66 /sqft

5. Muraba - AED 17.91/sqft 

6. Tiara Residences - AED 19.32/sqft.

The Lakes & The Meadows

Brand new exquisitely upgraded Villa in The Lakes

Villa in The Lakes

Deema, 3 bedrooms

Price on Application

Here are some eminent developments in both The Meadows & The Lakes & their respective service fees:

1. Ghadeer - AED 4.14 /sqft 

2. Hattan - AED 2.3/ sqft 

3. Maeen - AED 4.14 /sqft 

4. Zulal - AED 4.14 /sqft

5. The Meadows - AED 2.04/sqft