Top 5 buildings to buy apartments in Jumeirah Lake Towers. Learn more X
  • Insight
  • Dec 28, 2020

Homeowners’ Association in Dubai – Major Pros and Cons

Among numerous other factors, deciding whether to own a property in a development managed by the homeowners’ association or not is another major decision a buyer has to make. The reason why it is important to consider this factor is that it decides how much control you have over the property.

Before shedding light on the major pros and cons of buying a property managed by the homeowner’s association, let’s first briefly discuss what homeowners’ association in Dubai actually is.

What is an Owners’ Association??

An owners’ Association (OA) is a separate legal entity, which works as a non-profit establishment. This association is made up of every title deed holder of the jointly owned property. It is formed with the purpose of managing and maintaining the property’s common areas. Any person who purchases another apartment unit in the building or house in the area becomes a member of OA automatically.

Pros and Cons of OA

In this section, we have discussed some major pros and cons of buying a property managed by OA that can influence your decision. Read on to know about them:


Well-Maintained Neighbourhood

The primary purpose of setting up an OA is the maintenance of the neighbourhood/jointly owned property. Thus, you need not worry about the maintenance as it will be the responsibility of OA.

Generally, there are strict guidelines and rules residents in such developments have to follow. For example, in the case, if it is a neighbourhood, OA may require residents to keep lawns property manicured and restrict them from parking on the street.

As a result, the area/development stays in a proper, well-kemp condition.

Reduced Maintenance Cost

Another prominent benefit of OA is that you will have to pay reduced maintenance cost. As it is shared by each member of the homeowners’ association. Generally, members are required to pay a fixed monthly amount as maintenance cost.

It is important to note that this cost covers maintenance for the development/residential building, not the private property you own.

Easy Settlement for Disputes

It’s not uncommon for people to have disputes with their neighbours over trivial or major issues. Sometimes it is the fencing problems and in some cases, the dispute can arise due to excessive noise. Settling such disputes can become an issue in itself since no party budges from their claims.

This is where OA can come into the picture. It can act as an intermediary and help to find a just solution to the dispute after hearing both sides of the story.

A Communal Lifestyle

An owners’ association allows residents to enjoy a communal lifestyle in the truest sense. Since each title deed holder becomes the member of the association, they get to attend numerous meetings and events pertaining to the management, maintenance tasks and settle issues, if any. Therefore, a sense of harmony is created.


Additional Charges

As stated above, homeowners in OA have to pay a fixed amount for the management and maintenance of the development. This may prove to be an additional financial burden for some.

Obtaining of Approval

If you want to make your changes in the property you own, you may have to obtain approval from OA. This can prove to be a taxing process, at times as it can prolong the entire procedure.

Rules and Regulations

There are certain rules and regulations, which are required to be followed by every resident living in an OA-managed property. No matter how ridiculous those rules sound, you have to follow them otherwise you can be fined by authorities. This can somewhat limit your freedom.

To prevent landing in such circumstances, it is important to know about these rules and regulations before buying a living space in such a development.

OA’s Financial Troubles Can Impact Prices of Homes

In the case OA is facing a lawsuit, it can have an impact on the prices of residences in the development. You may not be able to sell your home at the desired rates. Furthermore, it can also have an effect on your loan application.

Final Thoughts

All in all, don’t rush into things and carefully make a decision. When sorting through the list of residential properties in Dubai, carefully evaluate each and every factor, including the pros and cons of OA, and then finalise the best option.

  • Insight

4 Ways To Finance Your Off-Plan Property

Read More
  • Insight
  • News

Dubai Real Estate Report for Q2, 2021

Read More
  • Advice
  • Insight

Renting vs Buying Property in Dubai – Which is the Better Choice?

Read More