How to get a mortgage in Dubai

Dubai is unusual: a foreign buyer with no citizenship and no permanent residency can walk into a local bank and borrow against a home here. That does not mean the terms are the same for everyone. Residency, income, age, credit file, the price of the property and the bank's own appetite all move the numbers. This guide sets out the rules that apply to all banks, the ranges you will actually be quoted, and the order in which the process happens, so you can budget before you fall for a floor plan.

Can a foreigner get a mortgage in Dubai?

Yes. Both UAE residents and qualifying non-residents can borrow from UAE banks. What changes between the two groups is the size of the deposit, the paperwork, and how many banks will talk to you. A non-resident should expect to put more cash in and to produce more documents.

Two practical points before you go further:

• Terms for non-residents vary a lot between banks. Getting two or three quotes is worth the effort; the spread between them is often wider than the spread between products at one bank.
• If the property is off-plan, read the off-plan eligibility section first. Many buyers plan a mortgage that the project or their residency status will not support.

Loan-to-value ratios in Dubai

The loan-to-value ratio (LTV) is the share of the property's value a bank may lend. The rest is the minimum deposit you must fund yourself. The ceilings are set by the Central Bank of the UAE; a bank can lend less than the ceiling but not more.

UAE nationals

Scenario	Max LTV	Min deposit
First property, value up to AED 5M	85%	15%
First property, value over AED 5M	70%	30%
Second or later property	65%	35%

Resident expatriates

Scenario	Max LTV	Min deposit
First property, value up to AED 5M	80%	20%
First property, value over AED 5M	70%	30%
Second or later property	60%	40%

Non-resident buyers

Scenario	Max LTV	Min deposit	Notes
Off-plan or ready property	50% to 70%	30% to 50%	Set by the lender according to income, nationality and the specific property

Off-plan property (every buyer type)

Scenario	Max LTV	Min deposit	Notes
Any off-plan purchase	50%	50%	Subject to bank approval and the project being on the bank's approved list

These are the regulatory ceilings as published by the Central Bank. A bank will often apply a lower figure for a particular borrower profile, nationality or credit history, so treat the table as the best case and ask your bank for the limit that applies to you before you sign anything. The Central Bank has adjusted these ceilings before (most recently for first-time buyers), so confirm the current circular with your lender.

Debt burden ratio

The debt burden ratio (DBR) is the share of your gross monthly income that may go towards all debt repayments, including the mortgage you are applying for. The Central Bank caps it at 50%.

Worked example: on a salary of AED 25,000 a month with no other debt, the highest monthly mortgage payment a bank can approve is AED 12,500. At today's rates that supports a loan of roughly AED 1.8M to AED 2M, depending on the rate and the term. A car loan, a personal loan or even credit-card minimum payments eat into that 50% and shrink the loan you can get. Work the number out early rather than discovering it at the offer-letter stage.

Mortgage interest rates in Dubai

Fixed rates

A fixed rate holds for an initial period, usually 1 to 5 years, then reverts to a variable rate linked to EIBOR, the Emirates Interbank Offered Rate. Fixed rates were being quoted from about 3.89% to 4.75% a year at the time of writing, depending on the bank, the loan size and your profile.

Variable rates

A variable rate is EIBOR plus a fixed bank margin. In 2026 the range was broadly 5.5% to 8% a year. If EIBOR falls your payment falls; if it rises, so does your payment. You gain flexibility and give up certainty.

Most Dubai buyers fix for the initial period, especially when rates are moving. Rates matter more than they look: on a AED 2M loan over 25 years, the gap between 3.99% and 4.5% adds roughly AED 65,000 to AED 80,000 of interest across the fixed term. Comparing banks is not a formality.

Mortgage eligibility for off-plan property

Financing an off-plan unit is possible when both you and the project pass the lender's checks. Banks look at:

• Residency. UAE nationals and residents have the widest choice. A few banks will finance a non-resident on selected projects.
• Stable income. Consistent, documented earnings that cover the repayments.
• Credit profile. A clean Al Etihad Credit Bureau record and manageable existing commitments.
• Your contribution. You need the cash for everything the bank does not lend, and on off-plan that is at least half the price.
• Approved project. The development must be on that bank's approved list. Not every project is, and the list differs between banks.
• Construction stage. Disbursement often only begins once the building reaches the stage the bank requires, which means you fund the early instalments yourself.
• Documents. Identification, proof of income, bank statements and the property paperwork.

The practical consequence: for most off-plan buyers a mortgage is a completion tool, not a purchase tool. You pay the construction-linked instalments in cash, and the bank funds the balance at or near handover. Plan your cash flow on that basis. Our payment plan tool shows the cash you need by handover for a given project.

Mortgage fees and costs

Beyond the deposit, budget for:

Fee	Amount
DLD mortgage registration fee	0.25% of the loan amount
Bank processing or arrangement fee	Varies by lender and product (around 1% is common)
Property valuation fee	Charged by the bank for the independent valuation
Life insurance	Often a condition of the loan
Property insurance	Usually required on a mortgaged property
Early settlement fee	Applies if you repay before the agreed term ends
Other administrative fees	Bank or third-party charges

A worked example

Property price AED 2,000,000, loan AED 1,600,000 (80% LTV, resident, first property):

• Deposit: AED 400,000
• Mortgage registration fee (0.25% of the loan): AED 4,000
• Bank processing fee (about 1% of the loan): AED 16,000
• Valuation fee: about AED 3,000
• Insurance and other initial costs: about AED 2,000
• Cash needed upfront: about AED 425,000

This example only covers the mortgage. The DLD transfer fee, trustee fees and any agency commission come on top; our fees guide lists them. For an off-plan purchase the timing of these fees also depends on the lender, the project and the construction stage.

The mortgage process, step by step

Step 1: get pre-approved

Before you look at property, get a pre-approval from one or more banks. It states how much the bank will lend based on your income, liabilities and credit file. It does not bind you, but it gives you a real budget and makes you a credible buyer. Most banks issue it within 2 to 5 business days.

Step 2: agree the purchase and sign the MOU

With a budget in hand, choose a property and agree terms with the seller in a Memorandum of Understanding. Insist on a mortgage clause: it gives you a fixed window, typically 30 to 45 days, to obtain final approval, and lets you walk away if the bank declines.

Step 3: submit the full application

Send the bank the complete file. What they will ask for:

• Passport copy, plus your UAE visa if you hold one
• Emirates ID
• Bank statements covering the previous 3 to 6 months
• For employees: a salary certificate or letter from your employer
• For the self-employed: two years of audited accounts
• The signed MOU
• The property's details

Step 4: bank valuation

The bank orders an independent valuation. The valuer's figure can differ from the price you agreed, and the loan is calculated on the lower of the two. If the valuation comes in low, the gap is yours to fund.

Step 5: final approval and offer letter

After the valuation and document checks, the bank issues a formal offer letter. Read the rate, the term, the monthly payment, the arrangement fee and the early settlement terms before signing. The early settlement clause is the one buyers skip and later regret.

Step 6: the developer's No Objection Certificate

For a property inside a developer-managed community, the seller must obtain an NOC from the developer confirming there are no unpaid service charges or developer claims against the unit.

Step 7: transfer at the DLD trustee office

The transfer happens in person at a trustee office approved by the Dubai Land Department, with both parties present. You bring manager's cheques for the deposit, the DLD transfer fee, the mortgage registration fee and the remaining charges. The trustee records the mortgage against the unit, and the title deed comes out in your name with the bank noted on it as mortgagee.

Each step has a deadline that depends on the one before. A missed valuation slot or a late document can push the whole transfer past the MOU window, so keep a checklist and chase it.

Mortgages for non-residents

Non-residents can borrow, but on tighter terms:

• Maximum LTV of 50% to 65%, so a deposit of 35% to 50%
• Interest rates typically 0.5% to 1% above the rate a resident would get
• Heavier documentation: overseas bank statements, overseas tax returns and sometimes a credit report from your home country
• Off-plan is generally not financeable. Most banks want a completed property with a title deed

Fewer banks serve non-residents than residents. Standard Chartered, Emirates NBD and HSBC are among those with dedicated non-resident products. If you are buying off-plan from abroad, assume cash for the construction phase and, at most, a mortgage at handover.

Fixed versus variable: which suits you?

Feature	Fixed-rate mortgage	Variable-rate mortgage
How it works	The rate is locked for an initial period, usually 1 to 5 years	The rate tracks a benchmark, EIBOR, plus a bank margin, and moves with it
Payment predictability	High: the monthly payment does not change during the fixed term	Low: the payment changes whenever the benchmark moves
Starting cost	Usually a little higher than the variable rate on offer the same day	Usually lower at the outset
If rates rise	You are protected; payments stay the same	Payments go up
If rates fall	You are locked out of the saving until the fixed term ends	Payments go down
Suits	Buyers who need a firm budget, and periods when rates are expected to rise	Buyers who can absorb swings, and periods when rates are flat or falling
Common Dubai practice	Fix for 1 to 3 years, then reassess	Chosen for a lower entry cost or when a rate fall is expected
Exit consideration	If you may sell or refinance within 5 years, price the early settlement fee against the value of the fixed rate	Early settlement fees still apply; flexibility depends on the product terms

Decide on the exit first. If you expect to sell or refinance in the next few years, the early settlement fee can outweigh any benefit from fixing.

Islamic mortgages

Sharia-compliant home finance, which avoids charging interest, is available from most major UAE banks next to their conventional range. Two structures dominate:

• Murabaha. The bank buys the property and sells it to you at an agreed higher price, paid in instalments. The profit margin is fixed at the start and does not change.
• Ijara. The bank buys the property and leases it to you. Your monthly payments are rent, and ownership passes to you progressively over the term.

In practice both arrive at the same place as a conventional mortgage, with comparable monthly payments and total cost. The choice is usually personal preference or an employer's policy, not price.

Before you apply

• Pull your Al Etihad Credit Bureau report and clear anything unexpected.
• Work out your DBR with every existing commitment included.
• If the property is off-plan, confirm the project is on your bank's approved list before you pay a booking deposit.
• Get the pre-approval before you negotiate; sellers and developers treat a pre-approved buyer differently.
• Read the early settlement clause twice.