In September 2026, we quoted for a Ground + 6 in Al Jurf. The first page showed one price: AED 7,630,000. Right below it sat five short lines that most owners skim. They were the exclusions.
VAT alone added AED 381,500. The lift, the AC, the permit fees and the utility fees came on top. None of these were hidden construction costs. They were simply outside the contractor’s scope, and easy to miss.
Here is the short answer on hidden construction costs in Ajman. All three of our 2026 quotes left out 5% VAT and the building permit and completion certificate fees. They also left out electricity and water fees. Some quotes also left out AC, lifts or dewatering. Your consultant, the soil report and any finish upgrades sit outside too.
In this guide, you will find:
- Every exclusion printed on our 2026 building quotes, and who pays it.
- What VAT adds to a real building price.
- Which costs vary from quote to quote: AC, lifts and dewatering.
- How allowances, contingency and timing change your final budget.
Every figure comes from our own quotes, with plot numbers and owners’ names removed. We do not quote government fee amounts, because the municipality sets them for each project. We have worked as a building construction company in Ajman since 2017.
Which Hidden Construction Costs in Ajman Sit Outside a Contractor’s Price?
Three items were excluded in all three of our 2026 quotes. They were VAT, the permit and completion certificate fees, and electricity and water fees. AC, lifts and dewatering changed from quote to quote. Consultant fees, the soil report and upgrades sat outside all of them.
| Cost | In our 2026 quotes | Who pays |
|---|---|---|
| 5% VAT | Excluded in all three | Owner, on every invoice |
| Building permit and completion certificate fees | Excluded in all three | Owner |
| Electricity and water fees | Excluded in all three | Owner |
| AC | Included in one, fixing only in one, excluded in one | Depends on the quote |
| Lifts | Included in two, excluded in one | Depends on the quote |
| Dewatering | Included in one, owner’s scope in two | Depends on the quote |
| Consultant’s design and supervision | Not part of a contractor’s scope | Owner, under a separate agreement |
| Soil investigation | Not in our quotes | Owner, through the consultant |
| Finishes above the allowances | Allowances set in the quote | Owner pays the difference |
Source: the exclusions and lines in our three 2026 building quotes.
For the price itself, see our building construction cost guide. Our building construction cost breakdown shows what sits inside it, trade by trade.
How Much Does VAT Add to a Building?
Five percent of every invoice. Our May 2026 quote says it plainly. VAT of 5% is added to each invoice, as the Federal Tax Authority requires. The other two list VAT as an exclusion. On our three 2026 buildings, that meant AED 345,500 to AED 541,000 on top of the quoted price.
- Ground + Mezzanine + 4, AED 6,910,000: VAT of AED 345,500
- Ground + 6 on a raft, AED 7,630,000: VAT of AED 381,500
- Ground + 6 on piles, AED 10,820,000: VAT of AED 541,000
VAT follows the payment schedule, so it hits your cash flow at every stage. Plan for it from the first invoice, not the last. The rules are on the Federal Tax Authority’s VAT page.
Which Government Fees Do You Pay Yourself?
The building permit fees and the completion certificate fees. Our quotes list both as government fees outside the price. The permit checklist adds fees and insurance set by the municipality engineer, plus any fines. The amounts depend on your project, so ask your consultant.
We do not publish fee amounts. They vary by building size and type, and the competent engineer sets them for each file. Your consultant can tell you the figure for your plot early.
Timing matters too. Several permit papers, including the utility NOCs, expire after one year. If your file stalls, they must be issued again. Our guide to the building permit for a residential building explains the file. The Ajman Municipality e-services portal lists the permit services.
Are Electricity and Water Connections Included?
The work inside the building is included, but the utility fees are not. Our quotes price the plumbing, drainage, electrical and fire-fighting installation. The electricity and water fees are listed as exclusions, for the owner to pay. Ask your consultant about these fees early, so they are in your budget from the start.
The permit file also needs NOCs from EtihadWE, Ajman Sewerage and Etisalat. Your consultant collects them. Each is valid for one year.
Our approvals and permits service follows these NOCs with your consultant. That keeps the connections on track with the building.
Who Pays for Dewatering?
It depends on the quote. Our Al Nuaimia quote included dewatering at a fixed AED 100,000. Both our Al Jurf quotes left it to the owner, if the dig needs it. They also treat any pumping time as a “dead period”, outside the build time.
Dewatering means pumping groundwater out of the excavation so the foundations can be cast dry. Whether you need it depends on the water level. The soil report must give the groundwater depth and the dewatering needs.
On our piled Al Jurf plot, the structural drawings record groundwater 11.6 m below working level. Our foundation cost guide explains how groundwater affects the foundations.
Are AC and Lifts Included in the Price?
Sometimes. One of our quotes included ducted AC and two lifts. Another priced the lifts and AC installation, with the owner buying the units. The third left AC and the lift entirely to the owner. Check these two lines before you compare totals.
- Ground + Mezzanine + 4: Hitachi ducted AC at AED 350,000 and two lifts at AED 90,000 each
- Ground + 6 on piles: two lifts at AED 90,000 each and AC installation at AED 180,000. The owner supplies the AC units.
- Ground + 6 on a raft: AC supply and installation, and the lift, all left to the owner
On our piled Ground + 6, the lifts and AC installation alone came to AED 360,000. The owner still bought the AC units. A quote without them can look far cheaper than it is. Our guide to residential building construction cost shows how much these lines move the price per flat.
What Do the Consultant and the Soil Report Cost You?
They are separate from the contractor’s price. Our quotes cover building to the consultant’s drawings, so the consultant’s fees are agreed directly with you. The soil investigation is not in our quotes either. Your consultant arranges it with an accredited lab in Ajman.
Both come early. The soil report is needed before the structural approval, and it decides the foundation type. Our guide to the engineering consultant and building contractor explains who does what.
What Happens If You Choose Finishes Above the Allowance?
You pay the difference. Finish lines such as tiles, marble and bathroom sets carry an allowance for the material. Our tile rate of AED 110 per m² included only AED 30 for the tile itself. Choose a AED 60 tile, and the rate becomes AED 140 per m².
Our raft Ground + 6 had 930 m² of tiles on each typical floor. That covers the floors and the bathroom and kitchen walls. A AED 30 upgrade adds about AED 27,900 per floor. Across the six typical floors, that is about AED 167,400.
The same applies to entrance marble, kitchens and bathroom sets. If you upgrade during construction, put the new allowance and any time change in writing before ordering.
Related guide: How to read a building quotation
How Much Contingency Should You Keep?
Our planning guide suggests a contingency of 5 to 10 percent on top of the construction budget. We use it for changes, upgrades and surprises in the ground. Prices also move. Structural concrete in our quotes rose from AED 1,400 per m³ in May 2026 to AED 1,500 in September.
So ask how long a quote stays valid, and sign while it does. Keep the soil report, the area calculation and the permit file moving, so papers do not expire.
Our guide to planning a commercial building covers budgeting in more detail. As a general contractor, we list the main exclusions on the first page of every quote. Owner’s-scope items such as dewatering are marked in the bill of quantities.
Frequently Asked Questions
What are the hidden construction costs in the UAE?
Most are not hidden, just excluded. In our quotes, they are VAT, permit and completion certificate fees, and electricity and water fees. AC, lifts and dewatering vary.
Does a construction quote in Ajman include VAT?
Ours do not, and most building quotes are written excluding VAT, so check. A VAT-registered contractor adds 5% to every invoice. On a AED 7.63 million building, that is AED 381,500.
Who pays the building permit fees?
The owner. Our quotes list the permit and completion certificate fees as government fees outside the price.
How much are building permit fees in Ajman?
The municipality engineer sets the fees and insurance for each project. They depend on size and type, so ask your consultant for your figure.
Are electricity and water connections included?
The installation inside the building is included in our quotes. The electricity and water fees are not. The owner pays them.
Who pays for dewatering?
It depends on the quote. One of ours included it at AED 100,000. Two left it to the owner, with any pumping time outside the build time.
Are AC and lifts included in a building quote?
Sometimes. Check both lines. Our three 2026 quotes each treated them differently.
Is the consultant’s fee in the contractor’s price?
No. Our quotes cover construction to the consultant’s drawings. The consultant’s design and supervision fees are agreed separately with you.
How much contingency should I keep?
Our planning guide suggests 5 to 10 percent of the construction budget. We use it for changes, upgrades and ground surprises.
Can you list every exclusion for my building?
Yes. Send us your drawings, and our itemised quote for your building will list every exclusion up front. Use our contact page or WhatsApp.
So, What Should Your Real Budget Include?
Start with the contractor’s price. Then add the building construction extra costs. They start with 5% VAT, the permit and completion certificate fees, and the electricity and water fees. Then check AC, lifts and dewatering. Add your consultant, the soil report, any upgrades and a contingency.
Remember the five lines under that AED 7.63 million price. They were not hidden. They were just easy to skip, and VAT alone added AED 381,500.
Planning a building now? See our residential building construction service, or read our guide to commercial building construction cost. Our guide on how many flats you can build on your plot helps you size the project first.
Which exclusion in your quote are you unsure about? Send it to us on WhatsApp, and we will tell you who usually pays it.
