Guide to mortgages in the UAE

1. What are the requirements for obtaining a mortgage in Dubai?

A lot depends on a client’s situation, but as an employee, you’ll normally need 6 months of income history, and as a business owner, you’ll need at least 2 years of experience.

2. How much of a deposit do I need to put down?

Expats: A minimum of 25% deposit is required for their first mortgage up to a property worth of AED 5 million; over AED 5 million, this increases to 35%.

The minimum deposit for subsequent mortgages is 40 percent.

Emirati citizens: A 20% deposit is required up to a property worth of AED 5 million, with a 30% deposit required over AED 5 million.

For whatever reason, it’s 40%. mortgages that follow

3. What sorts of mortgages are there?

In the United Arab Emirates, there are three types of mortgages:

– Variable rate, which fluctuates based on the interest rate.

– Fixed rate: Your payment is set for a set period of time.

– Hybrid mortgages, which combine fixed and variable rates, are available.

What is best will be determined by the conditions and requirements of the customer.

4. There is a standard framework that the all banks will adhere to.

– Firstly, would apply for a ‘pre-approval,’ which is when we submit a set of documents to the chosen bank in order for them to provisionally approve the mortgage. – Next, the client will look for a property and sign a sales contract. – Finally, the bank will instruct an independent surveyor to visit the property and produce a valuation report.

– If the valuation report is satisfactory, the bank will issue a final written offer, which is the official contract between the bank and the client.