Best Mortgage Offers for UAE Nationals
Quick and easy way to your new home or investment with affordable mortgages
Current bank interest rates in UAE
| Bank | Published banks interest rate | Down payment | Repayment period | Installment for AED 3,500,000 loan amount |
|---|---|---|---|---|
| First Abu Dhabi Bank | 3.94% | 15% | up to 25 years | 18,359 |
| Emirates NBD | 3.99% | 15% | up to 25 years | 18,455 |
| Mashreq | 4.49% | 15% | up to 25 years | 19,434 |
| RAKBank | 4.5% | 15% | up to 25 years | 19,454 |
| Commercial Bank of Dubai | 3.99% | 15% | up to 25 years | 18,455 |
| Arab Bank | 3.98% | 15% | up to 25 years | 18,436 |
| Abu Dhabi Commercial Bank | 4.5% | 15% | up to 25 years | 19,454 |
| Abu Dhabi Islamic Bank | 3.99% | 15% | up to 25 years | 18,455 |
| Dubai Islamic Bank | 3.95% | 15% | up to 25 years | 18,378 |
| HSBC | 4.39% | 15% | up to 25 years | 19,236 |
| National Bank of Fujairah | 3.99% | 15% | up to 25 years | 18,455 |
| United Arab Bank | 3.99% | 15% | up to 25 years | 18,455 |
| Standard Chartered Bank | 4.29% | 15% | up to 25 years | 19,039 |
| Emirates Islamic Bank | 4.2% | 15% | up to 25 years | 18,863 |
Conditions for pre-approval
Employment
- Salaried employees - at least 6 months in their current job
- Self-employed - running their business for at least 2 years
Credit history
- Good credit history is necessary
Income
- Minimum income considered by many banks starts from USD 4k (or oveer USD 816k in annual turnover for self-employed)
- Maximum 50% of income dedicated to repayment
Employment sector
- Some banks only offer loans to employees from well-established institutions or government departments
Down payment
- Starting from 20% (15% with national Islamic funding options)
Loan term
- Up to 25 years
Age range
- Between 21 and 70 years old
Required documentation for pre-approval
Personal documentation
Emirates ID or passport
Salaried employee
- Latest salary certificate
- Latest pay slips (if there is more than 10% variation in income)
- Proof of previous employment if in current for less than 3 years
- Any additional bank statements from the last 6 months
Self-employed
- Valid Trade License copy
- MOA (Memorandum of Association) including all amendments
- Bank statements from the last 6 months
- Audited financials from the last 2 years
Property documentation
- Quote or offer letter from the seller
- Sale or purchase agreement
- Title deed or site plan
- Copy of valid facility approval*
| Monthly income in AED | Maximum monthly instalment in AED | Maximum mortgage loan amount in AED |
|---|---|---|
| 10,000 | 5,000 | 1,500,000 |
| 12,000 | 6,000 | 1,800,000 |
| 14,000 | 7,000 | 2,100,000 |
| 16,000 | 8,000 | 2,400,000 |
| 18,000 | 9,000 | 2,700,000 |
| 20,000 | 10,000 | 3,000,000 |
| 22,000 | 11,000 | 3,300,000 |
| 24,000 | 12,000 | 3,600,000 |
Mortgage loan down payment
| Property type | Property price | Maximum LTV (loan-to-value ratio) | Minimum Down Payment Required |
|---|---|---|---|
| First property (Islamic financing) | Under AED 5 million Over AED 5 million |
85% 80% |
15% 20% |
| First property (standard financing) | Under AED 5 million Over AED 5 million |
80% 70% |
20% 30% |
| Any subsequent property | Any price | 65% | 35% |
| Off-plan / under-construction property | Any price | 50% | 50% |
| Typical process phase | Estimated duration |
|---|---|
| Registration and loan inquiry at Kredium | 5-10 minutes |
| Personalized offers from Kredium | 30 minutes-1 hour |
| Mortgage application with a lender | 1 day |
| Mortgage processing by a lender | |
| • Salaried employees | 7-10 days |
| • Self-employed | 15-20 days |
| Mortgage closing with a lender | 1 day |
Costs of mortgage approval
| Costs | Amounts in case of a AED 3,500,000 loan |
|---|---|
| Mandatory one-time costs | In AED |
| Land department fee | 175,580 |
| Property registration fee | 4,200 |
| Mortgage registration fee | 8,760 |
| Valuation fee | 3,675 |
| Bank processing fee | 36,750 |
| Optional one-time costs | In AED |
| Real estate agency or broker fee | 91,875 |
| Conveyancing fee* | 8,000 |
| Oqood fee** | 175,000 |
| Mandatory recurring costs | In AED |
| Life insurance | 392 |
| Property insurance | 191 |
| Total | 504,423 |
| Without optional costs | 229,548 |
Monthly instalments for a AED 3.5 million mortgage loan with different rates and terms
| Interest rate | Mortgage instalments | |||
|---|---|---|---|---|
| 10 years | 15 years | 20 years | 25 years | |
| 1.90% | 32,048 | 22,362 | 17,541 | 14,665 |
| 2.20% | 32,519 | 22,847 | 18,039 | 15,178 |
| 2.40% | 32,836 | 23,173 | 18,377 | 15,526 |
| 2.60% | 33,154 | 23,503 | 18,718 | 15,878 |
| 2.80% | 33,474 | 23,835 | 19,062 | 16,236 |
| 3.00% | 33,796 | 24,170 | 19,411 | 16,597 |
| 3.20% | 34,120 | 24,508 | 19,763 | 16,964 |
| 3.40% | 34,446 | 24,508 | 19,763 | 16,964 |
| 3.60% | 34,774 | 25,193 | 20,479 | 17,710 |
Early mortgage repayment
- 1% fee (1.05% inclusive of VAT) on the outstanding loan amount
- The fee is capped at AED 10,000 (AED 10,500 inclusive of VAT)
- Some lenders allow early settlement up to 40% of the loan amount with no fee required
- Some lenders don't charge a fee for early settlements up to 15% of the outstanding amount (limited to once per year)
Imagine you want to prepay your loan and fully close it in 5 years
| Year | 0 | 1 | 2 | 3 | 4 |
|---|---|---|---|---|---|
| Outstanding amount | 3,500,000 | 2,800,000 | 2,100,000 | 1,400,000 | 700,000 |
| Prepayement | 700,000 | 700,000 | 700,000 | 700,000 | 700,000 |
| Fee | 10,500 | 10,500 | 10,500 | 10,500 | 7,350 |
Contact us
Kredium Technologies LLC
Single Business Tower, 26th Floor
153 Sheikh Zayed Rd
Business Bay, Dubai, UAE