When buying property in Dubai then the first question which rises in the mind is from where to get a mortgage? Because a mortgage is basically a type of loan which helps to buy property, so that you don’t need to pay cash all at once.
So if you are a non-resident and investing in property then Dubai property loan and how mortgages work for expats, what the eligibility requirements are, which documents you need, and which banks or financial institutions offer the best mortgage deals.
Can Expats Get a Mortgage in Dubai?
Yes, it’s possible. Many UAE banks, like HSBC and NBD, offer home loans to expats. By following rules and requirements like age, resident status, salary package, and the company where you are employed. If self employed so its finance audit and other documents.
Central Bank Rules that Followed by All Banks
- Debt-Burden Ratio: Your monthly loan payments, including the new mortgage, can’t exceed 50% of your monthly income.
- Early Settlement Fee: If you pay off the loan early, banks can charge a maximum of 1% or AED 10,000.
- Loan Tenure: Most banks offer repayment terms up to 25 years.
Check: Freehold Areas in Dubai
Loan-to-Value (LTV) and Down Payment
This means how much of the property’s total value the bank will cover as a loan and how much you need to pay.
For Resident Expats:
- For homes up to AED 5M: Up to 80% loan.
- For homes above AED 5M: Usually around 70% loan but it depends on the bank’s policy and your profile.
- For Non-Residents: Around 50% loan, and requiring a higher down payment and extra documents.
Expat Mortgage Eligibility Criteria in Dubai
Before applying for a mortgage in Dubai, learn about the eligibility criteria for expats to understand the process easily.
1. Minimum Income Requirements
- Banks usually require expats to have a minimum monthly salary, between AED 10,000 and AED 15,000.
- For self-employed expats, income proof is stricter, often needing 2-3 years of audited accounts or tax returns.
2. Age Restrictions
Minimum Age: Banks require applicants to be at least 21 years old.
Maximum Age for Repayment:
- Previously limited to 65 or 70 years.
- Updated rules allow salaried expats up to 65 years.
- Some banks permit self-employed applicants up to 70 years.
3. Residency Status
- Resident Expats: Can get up to 80% of the property value as a loan meaning a 20% minimum down payment.
- Non-Residents: Can also get mortgages, but usually up to 50% of the property value with stricter requirements.
4. Approved Employers/Companies
Many UAE banks have an approved employer list. If you work for a listed company, loan processing can be faster with relaxed eligibility. If your employer isn’t on the list, banks may ask for extra checks, more salary history of 12 months instead of 6 months.
Types of Mortgages:
These are types of mortgages in Dubai which you must need to know:
1. Fixed-Rate Mortgage:
The interest rate is locked for a set period of 1–5 years, so your monthly payments stay the same, no matter how market rates change.
- Pros: Stable and predictable, making budgeting easier.
- Cons: You miss out on savings if market rates drop.
2. Variable-Rate Mortgage:
The interest rate depends on EIBOR (Emirates Interbank Offered Rate) plus a bank margin, so it changes with the market.
- Pros: If market rates fall, your loan becomes cheaper.
- Cons: Payments can increase, creating uncertainty.
3. Islamic Mortgage:
No interest is charged, as it’s not allowed in Islam. Instead, you and the bank form a partnership by using Ijara, Murabaha, or Diminishing Musharaka models, and you repay through rent or profit sharing.
- Pros: Halal financing that follows Islamic principles.
- Cons: Can sometimes feel more expensive than traditional mortgages due to its structure.
4. Offset Mortgage:
Your savings account is linked to your mortgage. The more money you have in savings, the less interest you pay on your loan.
- Pros: Higher savings can help pay off your loan faster and reduce interest costs.
- Cons: Not all banks offer this, and it can seem complex for beginners.
The Mortgage Process in Dubai
Here is the step by step process guide to mortgages in Dubai for expats.
Step 1: Mortgage Pre-Approval Document Requirements
The bank checks your affordability and gives you a pre-approval letter, which you can show to sellers to strengthen your offer.
Documents Needed:
- Passport copy and visa page.
- Emirates ID for residents.
- Salary certificate and 3–6 months of payslips.
- 3–6 months of bank statements.
- Proof of address and DEWA bill or tenancy contract.
- Self-employed trade license, 2–3 years of audited accounts or tax returns.
Timeline: 1–7 working days after submitting documents.
Step 2: Property Selection & MoU Signing
After choosing a property, you and the seller sign an MoU, and you pay a deposit of 10%. Include a finance contingency clause in the MoU to protect your deposit if the mortgage is rejected.
Documents/Actions:
- Confirm sale terms of price, deposit percentage, and timeline
- Prepare a deposit cheque at MoU
- Include a finance condition clause in the MoU for refund clarity.
Timeline: From MoU signing to bank valuation and final approval takes about 2–4 weeks, depending on the bank and developer.
Step 3: Final Mortgage Approval
The bank’s underwriting team verifies your income, debts, and property valuation. If everything is okay, you get a sanction letter with loan amount, rate, and terms.
Documents Needed:
- Updated payslips or bank statements if requested.
- Credit history and liability disclosure of credit cards, loans.
- Review the sanction letter carefully and check prepayment or early settlement fees.
Timeline: 1–3 weeks after valuation and documents are submitted.
Step 4: Down Payment Transfer
Resident expats typically pay 20% down payment for properties under AED 5M. If the bank’s valuation is lower than the sale price, you may need extra cash to cover the gap. Non-residents need a higher down payment.
Documents/Actions:
- Arrange a post-dated cheque or bank transfer for the down payment.
- Show proof of down payment to the bank receipt or transfer.
Timeline: Down payment transfer usually completes in 7-14 days after MoU, depending on the seller’s schedule.
Step 5: Valuation & Due Diligence
The bank appoints a valuer to assess the property’s market value. They also check the developer’s NOC and DLD title for any issues (encumbrance check). This step is key for loan approval.
Documents/Actions:
- Arrange property access or keys for the valuation appointment.
- Request NOC and clear service charges or dues from the developer.
Timeline: Valuation and due diligence take 5–10 working days, depending on the value and developer’s response.
Step 6: Transfer of Ownership at Dubai Land Department
Once the loan is released and down payment is complete, you and the seller finalize the transfer at DLD. The title deed is updated, and the mortgage is registered in the bank’s favor.
Documents Needed:
- Passport, Emirates ID, original sale agreement/MoU, bank sanction letter, trustee office documents if needed.
- Developer NOC and service charge clearance for completed properties.
Timeline: DLD transfer and mortgage registration take 1–3 business days once paperwork and funds are ready. Overall closing depends on trustee office bookings.
Key Costs Involved in Expat Mortgages
Cost Type | Typical Amount | Detail |
| Down Payment | 20–25% (residents), 35–50% (non-residents) | Biggest upfront cost |
| DLD Transfer Fee | 4% of property price + admin | Mandatory government fee |
| Mortgage Registration | 0.25% of loan amount + AED 290 | Registering loan with DLD |
| Bank Processing Fee | 0.5% – 1% of loan amount | One-time bank charge |
| Valuation Fee | AED 2,500 – 3,500 | Bank-appointed property valuation |
| Insurance | Varies (property + life insurance) | Usually mandatory for mortgage |
Best Banks for Expat Mortgages in Dubai
Many of the big banks in Dubai provide home loan options, making it easier for both locals and foreigners to find a suitable mortgage.
1. Emirates NBD
Interest rate is around 3.25% to 3.99% and it is linked to EIBOR.
Pros:
- Offers up to 80% financing for expats.
- Provides pre-approval, installment deferral, and top-up loans; 10-minute pre-approval possible with SmartLoan AI.
Cons:
- The processing fee is a bit high, which is 1% or more.
- Life and property insurance are mandatory, adding extra costs.
2. HSBC Middle East
Interest rate is fixed at 4.5% for 5 years; variable options with EIBOR + margin also available.
Pros:
- Offers green mortgages with lower rates for eco-friendly projects.
- Loans can be transferred across HSBC’s global network; down-payment loans up to 50% available.
Cons:
- Higher rates compared to some local banks.
- Processing fee 1% of loan; valuation fees are higher; early settlement may have fees.
3. Mashreq Bank
Interest rate is variable at 3.9% EIBOR + margin.
Pros:
- Unique perks like 0.3% NFT discounts and family bundle to combine incomes for better eligibility.
Cons:
- Mostly variable rates, not great for those wanting stable rates.
- Processing fees and document requirements can vary; compare carefully.
4. Standard Chartered
Interest rate starts at 2.99% fixed for 1 year, then switches to EIBOR-based.
Pros: Very competitive starting rate, good for short-term loans or those planning to refinance.
Cons:
- Fixed rate only for 1 year, so long-term costs are unclear.
- May require salary transfer; loan-to-value (LTV) for expats is ~75%.
5. Abu Dhabi Islamic Bank (ADIB) – Sharia-Compliant
Islamic home finance interest rate starts at ~3.99% (3-year fixed), then EIBOR + margin.
Pros:
- Sharia-compliant financing like Murabaha/Ijarah style.
- May offer free property insurance Takaful and no processing fee for salary-transfer customers.
Cons:
- Less flexible for non-residents; Islamic structure may be complex for beginners.
- Variable rates after the fixed term can raise questions.
FAQ
Is it difficult to get a mortgage in Dubai?
No, it is not too difficult to get a mortgage in Dubai, but every applicant must meet specific requirements.
How do banks decide to give you a mortgage?
Banks approve a mortgage when your income, credit history, and employer profile meet their standards. They also check your age, residency status, and debt-to-income ratio.
What is the minimum salary to get a mortgage in Dubai?
The minimum salary requirement for getting a mortgage in Dubai is AED 10,000 per month.
Conclusion
Getting a mortgage in Dubai is a smart and practical way for expats to own property. When you understand the eligibility criteria, costs, and choose the right bank options, you can easily secure your dream home or investment. So planning and research at every step is important to ensure your decision is safe and profitable.