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Conditional Deed Of Sale With Assumption Of Mortgage Template for United Arab Emirates

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Key Requirements PROMPT example:

Conditional Deed Of Sale With Assumption Of Mortgage

"I need a Conditional Deed of Sale with Assumption of Mortgage for a commercial property in Dubai Marina, where the buyer will assume an existing Islamic mortgage of AED 5 million, with completion scheduled for March 2025."

Document background
The Conditional Deed of Sale With Assumption of Mortgage is a specialized legal instrument used in UAE real estate transactions where the buyer takes over the seller's existing mortgage instead of obtaining new financing. This document is particularly relevant in situations where the existing mortgage terms are favorable or when new financing might be difficult to obtain. It must comply with UAE Federal Law No. 5 of 1985 (Civil Code), Federal Mortgage Law, and relevant emirate-specific property laws. The deed includes comprehensive details about the property, existing mortgage terms, conditions for transfer, and necessary approvals from the mortgagee. It's designed to protect all parties' interests while ensuring smooth transfer of both property ownership and mortgage obligations in accordance with UAE legal requirements.
Suggested Sections

1. Parties: Identification of the Seller, Buyer, and current Mortgagee

2. Background: Context of the transaction, including current ownership and mortgage status

3. Definitions: Key terms used throughout the deed, including Property, Completion Date, Purchase Price, and Assumed Mortgage Amount

4. Sale and Purchase Agreement: Core terms of the property sale including purchase price and payment structure

5. Property Details: Comprehensive description of the property including title details and registered encumbrances

6. Mortgage Assumption Terms: Details of the existing mortgage to be assumed, including outstanding amount and terms

7. Conditions Precedent: Conditions that must be satisfied before completion, including mortgage lender approval

8. Completion Requirements: Steps and requirements for completing the transaction

9. Seller's Warranties: Warranties regarding property title, existing mortgage, and property condition

10. Buyer's Warranties: Warranties regarding financial capacity and assumption of mortgage obligations

11. Registration and Transfer: Process and requirements for property and mortgage transfer registration

12. Costs and Taxes: Allocation of transaction costs, registration fees, and applicable taxes

13. Governing Law and Jurisdiction: Specification of UAE law application and jurisdiction

Optional Sections

1. Property Management During Transition: Used when there's a gap between agreement and completion, detailing property management responsibilities

2. Tenant Provisions: Required if the property is currently leased, addressing tenant rights and obligations

3. Strata Title Provisions: Needed for apartments or properties under strata schemes

4. Defect Liability: For new properties or those under warranty, detailing responsibility for defects

5. Insurance Requirements: Specific insurance obligations beyond standard mortgage requirements

6. Third-Party Consents: When additional approvals beyond mortgage lender are required

7. Development Obligations: For properties in developing areas or with outstanding construction obligations

Suggested Schedules

1. Schedule 1 - Property Details: Detailed property description, including plot number, location, and specifications

2. Schedule 2 - Existing Mortgage Details: Complete details of the mortgage being assumed, including payment schedule

3. Schedule 3 - Required Approvals: List of necessary approvals and consents for completion

4. Schedule 4 - Completion Documents: List of documents required for completion

5. Schedule 5 - Property Title Documents: Copies of relevant title documents and certificates

6. Appendix A - Property Plans: Official property plans and drawings

7. Appendix B - Current Mortgage Statement: Recent mortgage statement showing outstanding balance and payment history

8. Appendix C - Property Photographs: Current photographs of the property condition

Authors

Alex Denne

Head of Growth (Open Source Law) @ ¶¶Òõ¶ÌÊÓÆµ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions




































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Relevant Industries

Real Estate

Banking & Finance

Legal Services

Property Development

Construction

Islamic Finance

Property Management

Insurance

Professional Services

Relevant Teams

Legal

Real Estate

Property Management

Mortgage Services

Compliance

Risk Management

Islamic Banking

Property Registration

Documentation

Client Relations

Relevant Roles

Real Estate Lawyer

Property Manager

Bank Manager

Mortgage Officer

Real Estate Agent

Property Developer

Legal Counsel

Compliance Officer

Real Estate Investment Manager

Property Registration Officer

Islamic Finance Specialist

Real Estate Transaction Manager

Risk Assessment Officer

Title Insurance Officer

Industries








Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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