The Letter of Reservation is a crucial preliminary document in UAE real estate transactions, particularly in Dubai and Abu Dhabi's property markets. It is typically used when a prospective buyer expresses serious interest in purchasing a property and wishes to secure it while conducting due diligence or arranging financing. The document includes essential details such as the property specifications, reservation deposit amount, validity period, and basic terms of the potential purchase. Under UAE law, the Letter of Reservation must comply with RERA guidelines and local property regulations, providing a formal framework for the initial stage of a property purchase. While not as comprehensive as a Sale and Purchase Agreement, the Letter of Reservation serves as an important stepping stone in the property acquisition process, offering both parties a clear understanding of their initial commitments and rights.

1. Date and Reference Number: Current date and unique reference number for the reservation

2. Party Details: Complete details of both the developer/seller and the potential buyer, including full names, addresses, and contact information

3. Property Details: Comprehensive description of the property being reserved, including project name, unit number, size, and location

4. Reservation Amount: Specified amount of the reservation deposit and payment details

5. Reservation Period: Clear statement of how long the reservation will remain valid

6. Price and Payment Terms: Total purchase price and outline of the payment schedule if proceeding with the purchase

7. Terms and Conditions: Essential conditions of the reservation, including refund policy and next steps

8. Signature Block: Space for signatures of both parties and date of signing