Home Loan in Dubai | Mortgage Loan in Dubai and UAE (2024)

FAQs

What is the home loan rate in Dubai? ›

Most major banks in Dubai offer home loans, leaving applicants spoiled for choice. Each bank offers its own terms and it's important to know that mortgage rates are updated regularly based on EIBOR (the Emirates Interbank Offered Rate).

Down payment requirements in the UAE

Buying a property outright with liquid assets or personal savings is not a reality for most, and completing the home-buying journey is only possible with a mortgage loan. The minimum mortgage down payment on a house in Dubai is 20% for expats and 15% for locals.

Terms are generally set at 25 years, and the loan will usually need to be repaid before the age of 70.

You can buy a property in Dubai with either cash or on a mortgage. However, cash investment can be more cost-effective; but, securing a mortgage in Dubai allows you greater flexibility in managing finances.

A UAE National, only if you are applying for Home Finance – Bina´a. If salaried, you should have a minimum monthly earning of AED 8,000 (for UAE Nationals), OR AED 20,000 (for UAE Residents)

Yes, Mashreq offers Home Loans to non UAE Residents who are Salaried or Self Employed.

Age: Applicants must be 21 years of age to apply for a personal loan in the UAE. The maximum age to apply is between 60-65 years. Some banks may allow 18 year olds and above to apply for a loan. Minimum income: An individual's minimum income should be between Dh5,000-8,000, depending on the financial institution.

Personal loans in Dubai are a flexible way to get extra money for various needs, like going on a dream holiday or covering unexpected costs. These loans are relatively easy to apply for if you meet certain basic requirements. However, lenders will carefully check your credit history to see how you've handled money.

The required salary for purchasing a property in Dubai is determined by the property type and location. You should be aware that most banks prefer applicants with a monthly salary of at least AED 15,000. However, some banks approve those earning less than AED 10,000 per month.

Can I buy a house in Dubai in cash? ›

Those who are planning to buy a home in the UAE can get it either through cash or via a mortgage. Which of the two options is better solely depends on how you are going to manage your finances and the purpose of the investment.

Once you have purchased the property you may apply for a residence visa. This visa will be valid for up to 2 years, renewable, as long as you still own the property and you visit the country at least once every 180 days.

You can use the Mortgage Finder Affordability Calculator to work this out. For a property purchase price under AED 5million the maximum loan-to-value (LTV) for an expat is 80% and for a UAE national is 85%. For properties over AED 5million, this decreases to 70% LTV for expats and to 75% for UAE nationals.

No, mortgages in Dubai are not interest-free but have very low-interest rates ranging between 3% and 5%, depending on whether you choose to have a fixed or variable interest rate.

The mortgage rate in Dubai is relatively low (3.99% as of 11.01. 2024).

Can You Get a 25-Year Mortgage in Dubai? Yes, you can obtain a 25-year mortgage in Dubai. However, this mortgage term must be completed before retirement age, which is 65 years for salaried individuals and 70 years for self-employed individuals.

Therefore, there are many things you should be aware of before getting a mortgage in Dubai. The fixed-rate mortgage is usually less than 5 years. However, the interest rate is changed to a higher rate once the fixed period ends. This reversion rate is higher than the Emirates Interbank Offered Rate (EIBOR).