How to Get a Mortgage for Property in the UAE

Buying a home or investing in real estate is a dream for many, and the UAE continues to attract both residents and international investors with its stable economy and high rental returns. However, purchasing property outright with cash is not always possible. That’s where mortgages come in. Understanding how to get a mortgage for property in the UAE is essential to make the process smooth and affordable.

In this guide, we’ll cover everything you need to know about securing a mortgage in the UAE, from eligibility and requirements to application steps and tips for approval.

Who Can Apply for a Mortgage in the UAE?

Mortgages in the UAE are available to both residents and non-residents, but the rules differ slightly:

• UAE Nationals – Eligible for up to 85% of the property value.
• UAE Residents (Expats) – Eligible for up to 75%–80% of the property value.
• Non-Residents – Some banks allow financing up to 50%–60% of the property value.

Your eligibility will depend on factors such as your income, employment history, credit score, and the type of property you’re purchasing.

Key Documents Required for a UAE Mortgage

When applying for a mortgage in the UAE, banks will require several documents, such as:

• A valid UAE residence visa and Emirates ID (for residents).
• Passport copy (for both residents and non-residents).
• Salary certificate or proof of income.
• Bank statements (usually the last 6 months).
• Proof of existing debts or liabilities.
• Property documents (sales agreement or MoU).

Having all documents ready speeds up the mortgage approval process in the UAE.

How Much Down Payment Do You Need in the UAE?

The UAE Central Bank has set clear rules for down payments:

• Residents (Expats): Minimum 20% down payment for properties under AED 5 million, and 30% for properties above AED 5 million.
• UAE Nationals: Minimum 15% down payment for properties under AED 5 million.
• Non-Residents: Minimum 50% down payment.

This amount must be paid upfront in addition to other purchase costs like registration fees, transfer fees, and agent commissions.

Types of Mortgages in the UAE

Banks and lenders in the UAE offer several types of mortgages depending on your financial goals:

1. Fixed-Rate Mortgage – Interest rate is fixed for a set period (e.g., 1–5 years), offering stability.
2. Variable-Rate Mortgage – Rate changes based on the UAE’s central lending rates, which may rise or fall.
3. Offset Mortgage – Links your mortgage to your savings account, reducing interest charges.
4. Islamic Mortgage – Sharia-compliant financing model, where the bank purchases the property and resells it to you at a profit with flexible payments.

Step-by-Step Process to Get a Mortgage in the UAE

1. Check Eligibility – Make sure you meet the income and credit requirements in the UAE.
2. Get Pre-Approval – Apply to a bank for a pre-approval letter, which confirms how much you can borrow.
3. Select Your Property – Choose the UAE property that fits your budget and financing limits.
4. Submit Documents – Provide all required documents to the bank.
5. Property Valuation – The bank will evaluate the property’s market value.
6. Final Approval & Agreement – Once approved, you’ll sign the mortgage agreement.
7. Transfer of Ownership – Complete the registration with the UAE Land Department.

Tips to Secure a Mortgage Successfully in the UAE

• Maintain a strong credit score in the UAE by paying off existing loans on time.
• Compare offers from multiple banks before committing.
• Factor in additional costs like processing fees, life insurance, and valuation charges.
• Consider hiring a mortgage broker in the UAE for expert guidance.
• If you are a non-resident, look for banks that specifically cater to international investors.

Final Thoughts

Getting a mortgage for property in the UAE may seem complex, but with proper planning, it is a straightforward process. Whether you’re a UAE national, an expat resident, or an overseas investor, there are financing solutions tailored to your needs. By understanding eligibility rules, preparing your documents, and choosing the right bank, you can secure your dream UAE property without unnecessary stress.