Duhok Cuts Residential Property Transfer Fees to Boost Housing Market and Investment

ERBIL (Kurdistan24) - The Duhok Governorate Administration has issued a new decision to reduce and regulate residential property transfer fees, a move aimed at easing the financial burden on citizens while revitalizing the province's real estate market.

The decision comes after years of high transfer costs in housing projects across Duhok, expenses that frequently led to the cancellation of property sale agreements. Officials say the new policy establishes a fixed and unified fee structure designed to make transactions more accessible.

Sharif Mziri, a representative of a residential construction company, welcomed the decision, saying it serves the public interest.

"The decision is in the public interest, and we, as companies, are committed to implementing it. We support any decision that benefits citizens and will apply it without any problems," he told Kurdistan24.

Previously, companies charged buyers and sellers substantial sums simply to transfer ownership on property contracts. Dilshad Hussein, the owner of a real estate office, said the previous fees placed a heavy burden on the market.

"In the past, transfer costs started at $500 and reached as much as $3,000. That was a significant amount of money," he said. "In many cases, these high costs caused purchase and sale agreements to collapse, preventing people from selling their properties."

Under the new regulation, the transfer process will now operate under a unified system.

Abdulaziz Saadoun, head of the Association of Real Estate Mediators and Consultants, explained that a fixed fee of $100 will be charged for each residential property transfer, with $50 paid by the buyer and $50 by the seller.

"From now on, a unified system will be implemented. Only $100 will be charged for transferring a residential unit—$50 from the buyer and $50 from the seller. Charging more than this amount will not be permitted," he said.

Officials expect the measure to stimulate activity in Duhok's housing market and make buying and selling property significantly easier.

Duhok currently has more than 40 residential housing projects, while dozens of real estate companies operate across the province.

Investment activity continues to expand

The reduction in transfer fees comes as Duhok's General Directorate of Investment forecasts another year of strong investment growth, expecting to issue more than 50 investment licenses by the end of this year.

Dr. Haval Sadiq Akreyi, Director General of Investment in Duhok, told Kurdistan24 that the number of licensed investment projects has increased year after year, attributing the trend to the facilities provided by the Kurdistan Regional Government to investors and its efforts to promote further development across cities and towns.

He said that since the Investment Law came into force in 2006, authorities have granted licenses to 365 investment projects across Duhok Governorate. Of those, 159 projects received licenses during the ninth cabinet of the Kurdistan Regional Government.

According to Akreyi, 40 investment projects were licensed last year, while officials expect more than 50 licenses to be issued before the end of this year.

He added that the projects span a wide range of sectors, including agriculture, housing, tourism, industry, and many other areas of the economy.

Akreyi noted that the only significant slowdown in licensing occurred during the coronavirus pandemic in 2019, when only two projects received investment licenses. Otherwise, he said, the number of licensed projects has continued to rise annually.

He also pointed out that the Duhok Investment Directorate has previously decided to exempt investors implementing projects in underdeveloped areas from service fees.

Since 2006, investment licenses worth more than $10 billion have been granted in Duhok. Officials say these projects have helped move the province into a new phase of development while revitalizing most economic sectors.

The Kurdistan Regional Government says its primary objective is to strengthen the economic infrastructure of cities and towns while creating more employment opportunities, particularly for young people.

With lower property transfer costs and continued investment incentives, Duhok authorities aim to encourage greater activity in both the real estate market and broader economic development across the province.