Many UAE residents ask: «Can I get a mortgage, and how much down payment do I need?» The answer is set by the Central Bank of the UAE, then by each bank's own policy. This guide explains loan-to-value caps for residents, nationals and non-residents, the documents required, and how to prepare your application.
Central Bank mortgage rules
Central Bank rules (Circular No. 31 of 2013 and its amendments) set the maximum loan-to-value (LTV) ratio. Based on Khaleej Times reporting when the rules were issued, and the Central Bank's 2020 decision to raise LTV for first-time buyers by 5 percentage points, the picture is:
Expatriate residents
- First home worth AED 5 million or less: financing up to about 80%, so a minimum 20% down payment.
- First home above AED 5 million: a lower LTV (commonly cited at 70%).
- Second and subsequent homes: up to 60%, so a 40% down payment.
UAE nationals
- First home worth AED 5 million or less: up to about 85%.
- Second and subsequent homes: up to 65%.
Off-plan property
The rules cap financing for under-construction property at 50% of value, regardless of nationality or purpose.
Other general conditions
- Maximum loan term of 25 years.
- The borrower must not exceed age 65 for expatriates and 70 for nationals at the end of the loan.
- Total monthly repayments on all debts should not exceed about 50% of income (the debt burden ratio).
Mortgages for non-residents
Non-residents can obtain financing from some banks, but the terms are stricter: 2026 market guides indicate banks usually ask for a larger down payment (often 40% to 50%), documented income and longer bank statements. The final decision depends on each bank's policy and your profile.
Documents required for a mortgage
Salaried residents
- Passport, residence visa and Emirates ID.
- Salary certificate or recent employment contract.
- Bank statements for at least the last 6 months.
- Property documents: sale agreement or MOU.
Self-employed applicants
- Trade licence and memorandum of association.
- Personal and company bank statements (often a year or more).
- Audited financials or proof of income as the bank requires.
Non-residents
- Passport and proof of address in your home country.
- Home-country bank statements (often 6 to 12 months).
- Proof of income and an employer letter or business documents.
Extra costs when financing
On top of the down payment, budget for the 4% DLD fee in Dubai (or registration fees in Sharjah), mortgage registration, and the bank's valuation and processing fees. The cash you actually need is higher than the down payment alone.
Worked example: an AED 1 million apartment in Dubai
For an expatriate resident buying a ready first home worth AED 1 million (illustration only):
- 20% down payment: AED 200,000.
- 4% DLD fee: AED 40,000.
- Other fees: mortgage registration, valuation, processing and trustee fees, which vary by bank and loan size.
So you need more than AED 240,000 in cash before other fees, not just AED 200,000.
Steps to get a mortgage
- Pre-approval: find out your borrowing limit before choosing a property.
- Choose the property within your real budget.
- Valuation: the bank values the property, and lending is usually based on the lower of price or valuation.
- Final offer: review the rate type, fees and early-settlement terms.
- Registration: the mortgage is registered alongside the transfer.
Fixed or variable rate?
A fixed rate keeps your installment stable for an initial period; a variable rate follows a reference benchmark. Many banks offer a fixed period that then switches to variable, so ask about the terms after the fixed period ends.
Bank mortgage or developer payment plan?
For off-plan projects, many buyers use the developer's payment plan during construction and then finance the handover payment with a bank. Projects such as Emaar South and Dubai Hills Estate in Dubai, and Aljada and Al Mamsha in Sharjah, allow this approach depending on the phase.
Disclaimer: this article is general information, not personal financial advice, and banks may apply stricter terms than the Central Bank minimums.
Frequently Asked Questions
What is the down payment for expats buying a home in the UAE?
For a first home worth AED 5 million or less, the down payment is usually at least 20% under Central Bank caps after the 2020 change, and higher for pricier homes and second homes.
Can a non-resident get a mortgage in Dubai?
Yes. Some banks lend to non-residents, but usually with a larger down payment and stricter documentation depending on the bank.
Can I get a mortgage on off-plan property?
Yes, but Central Bank rules cap financing for under-construction property at 50% of value, and many buyers finance at handover instead.
What is the maximum mortgage term in the UAE?
Up to 25 years, provided expatriates are no older than 65 and nationals no older than 70 when the loan ends.
Want to know how much you can buy with your salary and down payment? Message Alroya Almomayaza Real Estate Brokers on WhatsApp at +971 58 558 9894 and we will help you pick the right unit and connect you with a mortgage adviser.
