Getting a mortgage in the UAE as an expat: limits, costs and approval

Yes, expats can get a mortgage in the UAE, and the Central Bank of the UAE (CBUAE) sets the outer limits for every lender. As an expat you can borrow up to 80% of the value of a first home worth under AED 5 million, over a term of up to 25 years, provided your total monthly debt repayments stay within 50% of your income. Each bank can then apply stricter rules of its own.

This guide explains those limits, how banks test affordability, what a mortgage costs beyond the interest and where applications go wrong. It sits alongside our practical guide to buying property in Dubai. It is general information, not financial or investment advice. Almahira does not lend or arrange loans; we help with the purchase and can introduce you to licensed firms.

How much can you borrow?

The CBUAE's Regulations Regarding Mortgage Loans set these maximum loan-to-value (LTV) ratios for expats:

Three details matter more than the headline percentages.

• Value means the bank's valuation. The CBUAE measures LTV against the appraised value, and valuations must not build in expected price rises. If the valuer comes in below your agreed price, the loan shrinks and you fund the gap.
• Only one property counts as your first home. Each borrower can claim the first-home limits once.
• The deposit must be your own money. The rules say the down payment has to come from your own resources, not from a personal loan or a credit card.

The rules also cap an expat's loan at seven times annual income, and every figure above is a maximum. Nothing stops a bank lending less.

The 50% rule: how banks test affordability

Under the CBUAE's retail lending rules, your total monthly repayments on all loans, including car loans, overdrafts, credit cards and the new mortgage, cannot exceed 50% of your gross salary and other regular income. Banks are told not to treat 50% as a target, and they must stress test the mortgage at 2 to 4 percentage points above the current rate, or above the rate that applies after any introductory period.

Say your gross income is AED 40,000 a month and you already pay AED 3,000 a month on a car loan. Your repayments can total AED 20,000 at most, which leaves AED 17,000 a month for the mortgage. The bank then checks whether you could still afford it at a higher rate than the one you will pay at first. A new credit card or car loan taken out just before you apply reduces that headroom.

Two more tests apply in particular cases. For an investment property, the bank must deduct at least two months' rent from the rental income it counts, to allow for empty periods. If the loan runs past your expected retirement age, the balance at that point must be affordable at 50% of your retirement income.

Term, age and what counts as income

The maximum term is 25 years. The CBUAE leaves the maximum age at the final repayment to each bank's own policy, which is one reason the same applicant can receive different offers from different banks.

Banks may only count income that is reliable and sustainable. Repayments must come from salary or from verifiable business or rental income. Bonuses and other irregular income are discounted, or left out if they are not guaranteed, and your end-of-service gratuity cannot be used as a source of repayment.

If you are self-employed or own a business, this is where applications get harder. The bank has to verify business income it can rely on, so expect to show company accounts and bank statements that support what you draw. Interest-only periods are allowed only on investment loans, and for no more than five years.

Financing an off-plan purchase

For off-plan property, the CBUAE caps the loan at 50% of the value for every buyer, whatever the price or purpose. The bank must also use your share of the price first: it pays the developer nothing until your equity has gone in, and its payments follow construction milestones checked by the bank or an independent professional. In practice you fund at least the first half of the price in cash. Our guide to buying off-plan property in Dubai covers escrow and registration.

From pre-approval to registration

1. Get a pre-approval. The bank assesses your income and existing debts and confirms how much it is prepared to lend, subject to valuation. It tells you your real budget before you negotiate. Check how long it remains valid.
2. Agree the price and sign the memorandum of understanding. Make sure its timeline leaves room for the bank's valuation and final approval.
3. Valuation. The bank instructs a valuer, and the loan is based on that figure, not on your price.
4. Final offer and Key Facts Statement. Under the CBUAE's Consumer Protection Standards, the bank must give you a Key Facts Statement before you sign, showing the rate, whether it is fixed or variable, and the fees. You sign to confirm you received it.
5. Transfer and mortgage registration. At the trustee office, the bank pays the seller, the property is transferred to you and the mortgage is registered with the Dubai Land Department (DLD). Ask for the mortgage to be registered at the same appointment as the transfer: under DLD's fee schedule, registering it a day later can add a trustee fee of AED 4,000 plus VAT (as of October 2026).

What it costs beyond the interest

Expect these costs, as of October 2026:

• DLD mortgage registration: 0.25% of the loan, plus small fixed fees such as AED 250 for the title deed. Our guide to the full cost of buying property in Dubai shows how it fits with the other purchase costs.
• Bank fees: an arrangement fee and a valuation fee, set by each bank and shown in the Key Facts Statement.
• Insurance: the cover the bank requires, usually life insurance and property insurance.

The CBUAE also caps several home loan charges for the life of the loan, before VAT:

On a fixed rate, the bank can also recover its actual cost of breaking the fixed period. And under the mortgage regulations, a bank must give you at least two months' notice before changing its fees or commissions.

Mistakes that cost expats an approval

• Funding the deposit with a personal loan or credit card, which the rules do not allow.
• Taking on a new car loan or credit card in the months before applying.
• Signing a memorandum of understanding with a tight deadline before the valuation is back.
• Treating the agreed price as the value. If the valuation is lower, the difference is yours.
• Choosing a bank on its introductory rate alone. The stress test, and your later payments, use the rate after it ends.
• Assuming the longest term. The age limit at the end of the loan is each bank's call.

If you are buying with residency in mind, a mortgaged property can still count towards the property route to a Golden Visa, with a no-objection letter from the bank. Our guide to the Golden Visa through property explains the conditions. If you want help lining up the purchase timeline with your bank's process, our real estate team can work through it with you.

Sources

• Central Bank of the UAE Rulebook: Regulations Regarding Mortgage Loans
• Central Bank of the UAE Rulebook: Regulation 29/2011, Article 7 on repayment limits
• Central Bank of the UAE Rulebook: maximum fees for retail customers (Appendix 2)
• Central Bank of the UAE Rulebook: Consumer Protection Standards on disclosure
• Dubai Land Department: mortgage registration application