Escrow Account
In UAE off-plan sales, an escrow account holds buyers' payments and releases funds to the developer against verified construction progress, protecting buyers.
An escrow account is a regulated bank account that holds money from off-plan property buyers. Instead of going straight to the developer, buyer payments are held in escrow and released in stages as construction progress is verified.
In Dubai, escrow accounts for off-plan projects are mandated and overseen by RERA. The mechanism protects buyers by ensuring their funds are tied to the project they are paying for, rather than being spent elsewhere.
For developers, this means instalment collections and payment plans need to be accurate and well documented per unit and project. IRM365 gives developers project and unit management, sales agreements, instalment schedules, and payment tracking in the property developer CRM.