Mortgage in Dubai is still on the rise and contributes a considerable portion of property financing. Despite the sparse resources, UAE nationals and expats rely on home loans for most property investments.

Getting mortgages for buying a plot of land for a house, or commercial property can be easy, but taking help of mortgage brokers or other financial advisory services is a wise decision. Their expertise lets you explore the nitty gritty of the Dubai mortgage process.

Speaking of the process, you need to know how much you can borrow before you apply for a mortgage. So, calculate your mortgage in advance based on the price of the property, the loan term, and interest rate.

Process of Getting a Mortgage in Dubai


  • Once you have found the right type of mortgage for your needs, approach the bank directly or with the help of a broker.
  • Central Bank of the UAE has formulated some regulations on property loans. It requires a UAE national or an Expat to have a down payment of at least 20% of the property value below AED 5 million.
  • If the property value is above AED 5 million, this rate increases to 30%. It further increases to 35% if the financing is for the second or subsequent purchase of the property.
  • Nevertheless, the down payment of 50% is required irrespective of the property value if the purchase is made off plan.



  • You need a pre-approval. Once you have decided how much to borrow and repayment method, seeking a pre-approval is important for security purposes.
  • A bank emails you or sends you an official declaration stating that they have reviewed your application and it is approved.
  • This pre approval is valid for 60 days. It gives both the buyer and seller a sense of security. 

The buyer can start searching for a property without worrying about its finance. However, the seller confidently proceeds with sale if a buyer has pre-approval. 

Documents Required

The bank might have hidden costs associated with this, so it is important that you read everything carefully before signing the paperwork. Speaking of which, here are the documents you need as a UAE national to apply for mortgage:

  • Copy of passport, Visa and Emirates ID
  • Proof of employment which is the salary certificate
  • Bank statements from the past six months
  • Most recent credit card statements
  • Proof of address – either a copy of DEWA bill or a tenancy contract.


In Dubai, the difference in laws makes banks more flexible for loan applications. Your debt payments should not be more than 50% of your income. 

The cost of arranging a mortgage can be hefty. Apart from those mentioned below, there are other costs and fees associated with the mortgage. The costs and fees include 

  • The mortgage registration fee, which is 0.25% of the mortgage value.
  • Bank fees – property valuation fee, processing fee, insurance registration fee, and more hidden costs
  • Depending on mortgage, property value, and personal circumstances, the costs for mortgage insurance vary, but it is compulsory. So, loan protection insurance is also included.
  • If your account is outside of Dubai, it incurs transactional costs too. Thus, it is important to check with your bank what you will be charged for making such a huge international transfer covering fees and incidental costs.

Looking to buy a car? Read this article on How to Get a Car Loan in Dubai

Can Foreigners get a Mortgage in Dubai?

how to get mortgage loan in dubai

Most banks see foreign buyers as a risk when it comes to mortgage. Sometimes, paying a significant down payment to proceed is unavoidable. Based on the property and your personal circumstances, your options vary for getting a mortgage in Dubai. Speaking to a financial expert or brokers in advance can help.

Getting a pre-approval takes a couple of weeks, but gives you a fair idea of how much the bank is willing to lend. It lets you decide your budget before searching for a property. However, note that affordability is considered an important factor for loan eligibility. In many countries, your debt should not exceed 30% to 35% of your usual income. 

Do’s & Don’ts

mortgage in UAE

Mortgage loans are not easy, you should be well aware of your options. But, a few Do’s and Don’ts can help you with the process.


  • Do get a pre-approval before beginning your search for property. 
  • Do keep your financial records in order and turn in your requested documents within stipulated time.
  • Keep your mortgage lender informed of your financial situation.
  • Be educated about everything you need to know to make an informed decision during the process.
  • Hire a legal advisor or advocate to make the  legislative decisions for you or at least advise you.


  • Don’t sign any paperwork without going through all the terms and conditions of the bank.
  • Don’t finalize a broker without checking into their history and success rate, especially if you are an Expat.
  • Don’t quit or change your job because investors check on your employment status regularly.
  • Don’t spend money that you need for your repayment.
  • Don’t close credit card accounts or take cash advances on it if it is associated with your mortgage.


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