Full Guide: How to Get a Mortgage in the UAE for Property Purchase

Here is a clear, step-by-step full guide on how to get a mortgage from UAE banks to buy a property — perfect for both residents and non-residents, and very useful for your real-estate clients.

1. Types of Mortgages in the UAE

For UAE Residents

Up to 80% financing for properties under AED 5 million.
Up to 70% financing for properties over AED 5 million.
For second property: around 60%.
Interest: Fixed 2–5 years, then variable.
Average rate: 3.99% – 5.99%.

For Non-Residents

Max financing: 50% – 60%.
Higher interest: 5.5% – 7%.
Limited banks (Emirates NBD, HSBC, FAB, ADCB, Mashreq).

2. Basic Requirements

A. Salary Requirement

Most banks require:
AED 10,000 – 15,000 minimum monthly salary (UAE residents).
Minimum annual income AED 120,000 (non-residents).

B. Documents Needed

For UAE Residents

Passport + Visa + Emirates ID.
Salary certificate.
3–6 months bank statements.
Pay slips.
Credit report.
Proof of current address (Ejari/DEWA bill).

For Self-Employed

Trade license.
MOA.
1–2 years audited financials.
6–12 months company bank statements.
Personal bank statements.

For Non-Residents

Passport copy.
Home-country address proof.
6 months bank statements.
Tax returns (depends on country).

3. Steps to Get a Mortgage (Simple Breakdown)

STEP 1 — Get a Mortgage Pre-Approval (3–7 days)

This is the most important step. The bank checks your income, credit score, liabilities, and mortgage eligibility amount.
You get a pre-approval letter valid for 60–90 days.

STEP 2 — Choose the Property

Once you know your approved amount, select the property (off-plan or ready).
Sign Form A/B with the broker.
Agree on the final price.

STEP 3 — Sign the Sale Agreement (Form F / SPA)

For ready: Sign Form F with buyer/seller.
For off-plan: Bank approves SPA from developer.

STEP 4 — Bank Property Valuation (3–5 days)

Bank sends a valuer to inspect the property.
Valuation fee: AED 2,500–3,500.
If valuation comes lower than selling price, the buyer must pay the difference.

STEP 5 — Final Mortgage Approval (2–5 days)

STEP 6 — Transfer & Mortgage Registration

At Dubai Land Department or DLD Trustee:
Buyer pays down payment.
Bank pays seller.
Mortgage registered.
DLD mortgage registration fees are 0.25% of the loan amount.

4. Fees & Costs You Must Know

Bank Fees

Processing fee: 0.5% – 1% of loan amount.
Valuation fee: AED 2,500–3,500.
Life insurance: 0.02% monthly average.
Property insurance: AED 300–500 per year.

DLD Fees

4% transfer fee.
AED 580 admin fee.
0.25% mortgage registration fee.

Agency Fee

2% of property price + 5% VAT.

Trustee Office Fee

AED 4,200 – AED 5,000.

5. Who Offers the Best Mortgages? (2025 Overview)

Top Banks for Residents

Emirates NBD
First Abu Dhabi Bank (FAB)
ADCB
Mashreq
RAKBANK

Top Banks for Non-Residents

HSBC
FAB
Emirates NBD

Sharia-Compliant Options

Dubai Islamic Bank
Abu Dhabi Islamic Bank

6. Mortgage Eligibility Example (Residents)

If your salary = AED 20,000
Max EMI allowed: 50% rule → AED 10,000
Eligible mortgage: AED 1.4M – 1.7M
Required down payment: 20–30%

7. Tips for Faster Approval

Keep your credit score 700+.
Don’t apply to multiple banks at the same time.
Have all documents ready.
Avoid any new loans or credit card applications.
Work with a broker or mortgage advisor.