Difference Between Title Deed And Oqood

The real estate world with a lot of intricacies. A lack of understanding of the details and the terminology of the real estate world can land you in deep trouble, especially if you plan on making a purchase or selling a property shortly. One common problem that many people seem to have is that of the difference between title and oqood.

Please read on below to get a comprehensive of both, which will help you differentiate between them with much more ease. This is especially important if you plan on dealing with real estate overseas.

Title Deed

When it comes to properties in Dubai or anywhere else globally, the title deed is one of the most critical documents you need to understand.  If you claim that you've bought a property and don't have the title deed to that particular property, you're as good as making it up. To avoid legal trouble revolving around claims, a title deed is used for clarification purposes.

Once you have completed the purchase of a product, you will be provided with a title deed. This title deed is the only document that specialty highlights your claim over the property. This document offers conclusive proof regarding your ownership of the property.

Moreover, if you wish to sell your property again or rent it off to someone sometime in the future, you will need this document on hand, especially in locations such as Dubai. Therefore, for any individual working on purchasing a property, make sure that you registered with the required authorities and that you have successfully obtained your title deed for smooth flowing of the process.

What you need to remember to help differentiate it from oqood is that the title deed is the paper or document issued to you once the sale and the whole deal of the house have been completed.

Oqood

Oqood is another real estate term used very often in Dubai that gets a lot of newcomers confused. Confusion in this domain can land you in a lot of unwanted hassle and trouble. While title deed and oqood might sound quite similar, one significant difference sets the two apart.

An oqood is a document issued to an individual by the developers while the property is getting ready. When the house is under construction or when it is being planned. This is the time when RERA (Real Estate Regulatory Authority) issues a critical document. This document is given by RERA and is created under the person who is making the purchase. The goal of an oqood is to guarantee that the property underway is registered in the name of a so and so person.

Once the project or construction of property comes to an end, oqood is automatically transformed into a title deed. As per the region's law, the oqood is a mandatory document for everyone who wishes to purchase. Moreover, an amount equal to 40% of the sale price of the house and some administration charges is required by the buyer.

And there you have it. While the two can be confusing and might seem interchangeable, that is not the case. Make sure you've brushed up on all the legal lingo before you set out to make an overseas purchase.