Question 1

What is a pre-approval and why do I need it?

Accepted Answer

It is a letter from the bank confirming how much it is ready to lend you, subject to the property valuation. It is usually valid for about 60 days, at some banks 30 or 90. With a pre-approval in hand, agents and sellers treat your offer as serious.

Question 2

How much can I borrow?

Accepted Answer

Our calculator uses these planning assumptions: for a first property, at least 20% down below AED 5M, 30% from AED 5M to AED 7M inclusive, and 40% above AED 7M. Additional properties require at least 40% down. Non-residents put down at least 40% (financing up to 60%); the stricter limit applies. Income shown is twice the monthly payment. Bank approval, existing debts and valuation may require more own funds or income.

Question 3

What is LTV?

Accepted Answer

Loan to value: the share of the price you borrow. A loan of AED 800,000 on a property worth AED 1,000,000 is 80% LTV, so the down payment is 20%.

Question 4

Can I take a personal loan for the down payment?

Accepted Answer

No. Central Bank rules do not allow the down payment to be financed with a personal loan. It has to come from your own funds.

Question 5

Which fees should I budget for?

Accepted Answer

On top of the down payment plan for about 6-8% of the price: DLD transfer fee 4%, agency commission, trustee office, bank arrangement fee, mortgage registration and valuation. The calculator above lists each one for your numbers.

Question 6

Can the fees be added to the loan?

Accepted Answer

Some banks finance part of the purchase costs. It lowers the cash you need on day one but raises the monthly payment.

Question 7

Do I need life and property insurance?

Accepted Answer

Yes. Banks require life insurance for the loan and usually property insurance too. Both are priced by the bank and added to your monthly costs.

Question 8

Is there a penalty for repaying early?

Accepted Answer

The Central Bank caps the early settlement fee at 1% of the outstanding loan or AED 10,000, whichever is lower, plus VAT. Many banks also allow some extra payments each year; the terms differ, especially during a fixed-rate period.

Question 9

Why does the bank ask for a security cheque?

Accepted Answer

It is standard practice in the UAE. The bank holds the cheque as a guarantee and would only present it if the loan is not paid.

Question 10

How old do I need to be?

Accepted Answer

From 21. Expats, salaried and self-employed alike, usually have to repay the loan by 65; UAE nationals by 70. This can shorten the term.

Question 11

Can I get a mortgage if I am self-employed or a freelancer?

Accepted Answer

Yes. Instead of a salary certificate, banks review your trade licence, company and personal bank statements, usually for 6-12 months, and audited accounts where available. Fewer banks lend to this profile, so the choice of bank matters more.

Question 12

Can non-residents buy with a mortgage?

Accepted Answer

Yes, several UAE banks lend to buyers living abroad. Expect a down payment of at least 40%, a credit report from your home country and a longer review.

Question 13

Do bonuses and allowances count as income?

Accepted Answer

Yes, if they are fixed and stated in your salary certificate or contract. A housing allowance counts in the same way.

Question 14

Can I buy together with my spouse?

Accepted Answer

Yes. You can apply jointly and the bank may combine your incomes. It can ask for a marriage certificate.

Question 15

Will the bank check my credit history?

Accepted Answer

Yes, every bank checks your AECB credit report. You can see it yourself first in the AECB app.

Question 16

Which documents do I need?

Accepted Answer

Salaried residents: passport, visa and Emirates ID, a salary certificate addressed to the bank, six months of bank statements and payslips, and a tenancy contract or utility bill. Self-employed add the trade licence and company statements. Non-residents may need a credit report from their home country. We send you the exact list for your case.

Question 17

Fixed or variable rate?

Accepted Answer

Most UAE mortgages are fixed for 1-5 years. After that the loan moves to a follow-on rate: EIBOR, the rate banks lend to each other, plus the bank's margin. Compare both the fixed rate and the margin, and look at refinancing when the fixed period ends.

Question 18

What is an Islamic mortgage?

Accepted Answer

Instead of charging interest, the bank buys the property and leases it to you with a profit rate until you own it. Most UAE banks offer both conventional and Islamic products.

Question 19

Can I finance an off-plan property?

Accepted Answer

Few banks lend during construction, and mostly for large developers. The usual route is the developer's payment plan, then a handover mortgage for the final payment, with the same loan limits as a purchase. What you already paid counts toward the down payment.

Question 20

Can I finance land or commercial property?

Accepted Answer

Yes, with a smaller group of banks and different terms. Tell us about the property and we check which banks fit.

Question 21

Can I leave the UAE if I have a mortgage?

Accepted Answer

Yes. Tell the bank and agree how the payments continue. Keeping the bank informed avoids problems later.

Question 22

How long does it take?

Accepted Answer

A pre-approval usually takes about a week. From pre-approval to transfer at the trustee office expect 3-6 weeks.

Question 23

Why apply through SHI—RE instead of my bank?

Accepted Answer

Your own bank shows you one offer. We compare several banks for your profile, prepare the documents in the format each bank expects and run the process to the keys. Your documents go only to the banks you choose.

Question 24

What are Form F, NOC and the title deed?

Accepted Answer

Form F is the sale agreement between buyer and seller. The NOC is the developer's letter that it has no objection to the sale and that service charges are paid. The title deed proves ownership; with a mortgage the bank keeps it until the loan is repaid.

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More than a calculator — your whole scenario

Add your numbers

Questions we hear every week

Your clients need a mortgage? — Work with us

Book a mortgage briefing for your team

More than a calculator —
your whole scenario