Mortgage Calculator

Most UAE mortgages use a reducing balance method. This means interest is charged only on the outstanding loan amount, not on the original principal amount.

Interest is calculated as a percentage of the outstanding amount.

Consider the following scenario as example:

• Loan Amount: AED 1,000,000
• Fixed Interest Rate: 5% annually (~0.417% monthly)
• Tenure: 25 years
• Interest ≈ AED 4170 per month (AED 1,000,000 *0.417%)

A mortgage EMI has 2 parts:

• Interest Component: Outstanding Balance * Monthly Interest Rate
• Principal Repayment: EMI - interest

Consider the following scenario as example:

• Loan Amount: AED 1,000,000
• Interest Rate: 5% annually (~0.417% monthly)
• Tenure: 25 years
• EMI: AED 6,000

Month 1

• Interest Component ≈ AED 4,167 (1,000,000 * 0.417%)
• Principal Repayment ≈ 6000 – 4167 ≈ AED 1,833

Month 2

• Interest Component ≈ AED 4,162 (998,167 * 0.417%)
• Principal Repayment ≈ 6000 – 4162 ≈ AED 1,838

As the months proceed, the interest component reduces as the principal balance drops.

Basic Identity Documents

• Residents / UAE Nationals: Passport, Resident Visa (if resident), EID
• Non-residents: Passport, proof of address in home country

Income and Financial Documents

• Salaried Individuals: Salary certificate (issued within 30 days), last 3 to 6 months' pay slips, last 6 months' bank statements
• Self-employed Individuals: Trade license, MOA, Company bank statements (6–12 months), Personal bank statements, Audited financials (usually last 2 years)

Property Documents (for final approval)

• SPA / MOU, title deed (ready property) or Oqood (off-plan), No Objection Certificate (NOC) from developer (if applicable), property valuation report, bank mortgage offer letter.

Application and Supporting Documents

• Completed mortgage application form, proof of address (utility bill / tenancy contract in some cases), Power of Attorney (if someone is applying on your behalf).

Yes – Foreigners (both UAE residents and non-residents) can get a mortgage in Dubai. In fact, the system is well-developed for international buyers, but the conditions are stricter compared to UAE nationals.

Requirements/conditions are listed as, but not limited to the below:

• Minimum age: 21 years
• Maximum age (at loan maturity): 65 for salaried, and 70 for self-employed.
• Property must be in approved freehold areas.
• Stable employment or business income
• Clean credit history
• Debt Burden Ratio (DBR): Total EMIs ≤ 50% of monthly income

Yes – UAE residents generally get better rates.

• Enter Property Price: Based on your chosen Binghatti property or custom input.
• Choose Down Payment Percentage: Adjust between 15% to 30% depending on UAE guidelines.
• Select Loan Term (in Years): From 5 to 25 years
• Input Interest Rate: Average UAE mortgage rates range between 3% and 5%
• View Monthly Payment Instantly: Automatic calculation of principal + interest