Mortgages for UAE residents: how much you can borrow, salary rules, rates and fees
How much a UAE resident can borrow: Central Bank loan-to-value caps for expats and nationals, the 50% debt-burden rule, tenor, minimum salary, EIBOR rates and every fee.
In this guide
A UAE resident can usually borrow far more than an overseas buyer, on rules set by the Central Bank of the UAE (CBUAE). An expatriate buying a first home worth AED 5 million or less can borrow up to 80% of its value, and a UAE national up to 85%. Every borrower must keep total monthly debt repayments within 50% of income, and the longest term is 25 years. Fees and the 4% Dubai Land Department (DLD) transfer fee are paid in cash on top of the deposit. This guide sets out the caps, the bank criteria that sit on top of them, dated rate examples, every fee and how to apply. It is general information as of 13 November 2026, not financial advice. If you live outside the UAE, read our non-resident mortgage guide instead.
How much can a UAE resident borrow?
Two sets of limits apply. The Central Bank's mortgage regulations cap the loan as a share of the property's value, and each bank then decides how much of that it will lend you, based on income, debts, age and the property.
Central Bank loan-to-value caps
| Property | Expatriate | UAE national |
|---|---|---|
| First home, value AED 5 million or less | 80% | 85% |
| First home, value above AED 5 million | 70% | 75% |
| Second or later home, any value | 60% | 65% |
| Off-plan property, any buyer | 50% | 50% |
The caps come from the CBUAE's Regulations regarding Mortgage Loans, as amended. The Central Bank raised the first-home limits by five percentage points in 2020 to make homes more affordable for first-time buyers. Khaleej Times, Mortgage Finder and Emirates NBD's first-time buyer terms publish the same figures. Two points follow:
- "First home" means your first property. Khaleej Times notes that each borrower can claim the first-home category for one property only. If you already own a home anywhere in the UAE, the next one is normally assessed at the second-home cap. That matters most when moving from an apartment to a villa.
- The cap applies to the bank's valuation. If the valuation comes in below the agreed price, the loan is calculated on the lower figure and you fund the difference.
On a AED 1.5 million first home, the minimum deposit is AED 300,000 for an expatriate and AED 225,000 for a national. On a AED 6 million villa it is AED 1.8 million and AED 1.5 million.
The 50% debt-burden ratio
The CBUAE limits all monthly debt repayments to 50% of your gross salary and other regular income from a defined source. That includes the new mortgage and any car loans, personal loans and credit card commitments. If the loan will run past your retirement, the repayments after retirement must fit within 50% of your post-retirement income, which shortens the term for older borrowers.
Khaleej Times also reports two further limits: a loan of no more than seven times annual income for expatriates, and repayment from salary or verifiable business or rental income, not from end-of-service benefits.
Term and age
- Term. Up to 25 years (300 months). Emirates NBD lends over 12 to 300 months.
- Minimum age. 21, according to Khaleej Times.
- Maximum age. Khaleej Times reports that the Central Bank removed the fixed upper age in 2019 and that each bank sets its own. Betterhomes puts the common market practice at the loan ending by about 65 for employees and 70 for the self-employed.
Minimum salary
There is no Central Bank minimum. Khaleej Times reports that most banks ask for AED 15,000 a month. Emirates NBD's first-time buyer offer, run with the DLD, asks for AED 15,000 from expatriates and AED 10,000 from UAE nationals, salaried or self-employed. Some banks advertise lower thresholds for particular products; ask, rather than assuming you do not qualify.
What you can afford: a worked example
An expatriate couple buying a first home for AED 1.5 million, borrowing the maximum 80% (AED 1.2 million) over 25 years:
| Rate | Monthly repayment | Minimum income at 50% DBR, no other debts |
|---|---|---|
| 4.05% (HSBC fixed, November 2026) | AED 6,367 | AED 12,734 |
| 4.69% (HSBC variable illustration, November 2026) | AED 6,800 | AED 13,600 |
| 6.65% (Emirates NBD tentative rate on its first-time buyer page) | AED 8,215 | AED 16,430 |
The bank's minimum salary may bind before the 50% rule does. A car loan of AED 2,500 a month would raise the income needed at 4.69% to AED 18,600.
Shorter terms cost more each month but much less in total. At 4.69%, the same AED 1.2 million loan costs AED 7,715 a month over 20 years and AED 9,297 over 15 years. Our mortgage affordability calculator works from your income and existing debts; the mortgage calculator works from a price.
Fixed or variable, and what EIBOR means
UAE mortgage rates are built on EIBOR, the Emirates Interbank Offered Rate. A variable loan is EIBOR plus a fixed margin for the life of the loan. A fixed loan holds one rate for one to five years, then reverts to EIBOR plus a margin. See the EIBOR glossary entry.
| Source | Product | Rate | Date |
|---|---|---|---|
| HSBC | Variable | Three-month EIBOR + 0.99%, illustrated as 3.70% + 0.99% = 4.69% | Viewed 12 November 2026 |
| HSBC | Fixed | 4.05%, then three-month EIBOR + 1.09% | Viewed 12 November 2026 |
| Emirates NBD | Fixed three years | 3.99%, then one-month EIBOR + 1.99% | Key facts statement, February 2026 |
| Emirates NBD | First-time buyer offer | From 3.99%; one-month EIBOR + 1.99% | Campaign page, viewed November 2026 |
| Market, resident borrowers | Fixed | 3.89% to 3.99% | Holo, 3 July 2026 |
Holo put three-month EIBOR at about 3.69% in June 2026. The Central Bank raised its base rate from 3.65% to 3.90% in mid-September 2026, as Khaleej Times reported.
How to compare offers:
- Look past the first rate. After a three-year fix, a 1.99% margin costs more than a 1.09% margin for the remaining 22 years. On AED 1 million that difference is roughly AED 9,000 a year at first.
- Test a rise. Emirates NBD's own illustration shows the monthly payment on an AED 800,000 loan moving from AED 3,791 with EIBOR at 1% to AED 7,264 with EIBOR at 8%.
- Match the fix to your plans. If you may sell or move within three years, a long fix gains little, though the early settlement cap keeps the cost of leaving modest.
What fees come with a resident mortgage?
| Fee | Amount | Source |
|---|---|---|
| Arrangement or processing fee | Up to 1% of the loan + 5% VAT | Emirates NBD, February 2026 |
| 1% (0.5% for Premier), minimum AED 5,000, + VAT | HSBC | |
| Valuation | AED 2,625 including VAT | HSBC |
| AED 3,150 including VAT | Emirates NBD | |
| DLD mortgage registration | 0.25% of the loan + AED 270 | Dubai Land Department |
| Life insurance | About 0.0171% of the balance a month | Emirates NBD example |
| Property insurance | About 0.01% of the value a month + VAT | Emirates NBD example |
| Early settlement | 1% of the balance or AED 10,000, whichever is lower, + VAT | Central Bank rule since 2019, via Khaleej Times; HSBC and Emirates NBD terms |
The DLD's mortgage registration page also lists a service-partner fee of AED 4,000 plus VAT. Ask the bank whether it is charged separately in your case. Emirates NBD's first-time buyer offer waives the application fee and allows partial settlement of up to 20% of the loan without charge.
The full cash bill on a typical purchase
An expatriate buying a completed AED 1.5 million apartment through an agent, with an 80% loan:
| Item | Amount |
|---|---|
| Deposit (20%) | AED 300,000 |
| DLD transfer fee (4%) | AED 60,000 |
| Title deed, map and trustee office fees | AED 4,780 |
| Buyer's agent (2% + VAT) | AED 31,500 |
| DLD mortgage registration | AED 3,270 |
| Bank arrangement fee (1% + VAT) | AED 12,600 |
| Valuation | AED 3,150 |
| Total cash needed | AED 415,300 |
That is about 28% of the price, and banks will not lend any of the fees. Our buying costs guide itemises each line.
How to apply
- Check your numbers. List every monthly debt and credit commitment. Run the affordability calculator.
- Get a pre-approval. A broker can compare several banks; UAE brokers are normally paid by the lender. HSBC says an approval in principle takes about an hour to apply for. Holo puts a typical validity at 60 to 90 days. See pre-approval.
- Agree the purchase. Sign the sale agreement only once you have a pre-approval for the right amount.
- Valuation and offer. The bank values the property and issues a final offer. HSBC allows up to 14 working days to arrange the loan. Emirates NBD gives a five-business-day cooling-off period after you sign the offer, which you can waive.
- Transfer. The bank pays the seller by manager's cheque at the DLD trustee office, where the mortgage is registered against your title deed the same day.
Property Finder's November 2026 guide puts a resale purchase with a new mortgage at about six to ten weeks from offer to transfer.
Documents
Khaleej Times lists what banks typically ask for:
- Salaried: passport, Emirates ID, salary certificate, usually six months of bank statements, and payslips.
- Self-employed: passport, Emirates ID, trade licence, bank statements, memorandum of association and audited company accounts.
- Co-borrowers: passport and Emirates ID, plus income documents if their income is being counted.
Off-plan, Islamic finance and other cases
Off-plan. The Central Bank caps lending on off-plan property at 50% for all buyers, and banks lend only on projects they have approved. Most residents pay construction instalments from savings and borrow against the completed home at handover, when the first-home caps apply to the bank's valuation. Plan for the case where the valuation at handover is below your contract price. See off-plan payment plans explained.
Islamic home finance. Islamic banks offer home finance structured as ijara or murabaha instead of interest-bearing loans. The Central Bank's loan-to-value and debt-burden limits apply in the same way. Two of the five banks in the DLD's first-time buyer programme, Dubai Islamic Bank and Emirates Islamic, are Islamic banks. Compare the profit rate and fees exactly as you would a conventional rate.
First-time buyers in Dubai. The DLD's First-Time Home Buyer Programme gives registered buyers access to preferential rates and fees at its five partner banks: Commercial Bank of Dubai, Dubai Islamic Bank, Emirates Islamic, Emirates NBD and Mashreq. See buying your first home in Dubai.
UAE nationals. Government housing loans for citizens, such as the Sheikh Zayed Housing Programme's interest-free finance, can be combined with bank lending. See buying property as a UAE national.
Checklist before you apply
- Know which cap applies to you: first or later home, value above or below AED 5 million, ready or off-plan.
- Hold the deposit plus about 8% of the price for fees in cleared funds.
- Clear or reduce other debts where you can before you apply.
- Compare at least three offers on the fixed rate, the follow-on margin and every fee.
- Get a pre-approval before you pay a deposit to a seller.
If you would like a full breakdown of what a specific home would cost you each month, including service charges, contact us. Our advisers are salaried and are not paid on commission, so the numbers come first.
