United Arab Emirates 💰 AED Last updated2026-05-28

Mortgage Calculator United Arab Emirates

⚡

Quick answer (United Arab Emirates)

A AED 2,000,000 mortgage at 4.5% over a 25-year term for a UAE resident works out to a monthly payment of about AED 11,117, with total interest of AED 1,334,995 over the full term.

🏠

Mortgage Calculator

AED

Home Value

AED

LTV 80% · No PMI ✓

Loan Amount

AED

Interest Rate

Term

Total Monthly

AED 14,450

PITI

Principal + Interest

AED 11,117

40% goes to interest

Total Interest

AED 1,334,995

over 25 years

Monthly Breakdown

Principal & InterestAED 11,117

Property Tax (1.1%/yr)AED 2,292

Homeowner's Insurance (0.5%/yr)AED 1,042

Total MonthlyAED 14,450

Principal vs Interest Split

60% principal

40% interest

✨ Live recalculation·Includes P&I, property tax, insurance. Estimates only — consult a licensed lender for exact rates.

Reviewed by

Aisha Rahman, CFP®, MBA LinkedIn ↗

CFP® with 12+ years in mortgage & retirement planning.

Local context

Mortgages in United Arab Emirates

Typical loan

AED 2,000,000

in United Arab Emirates

Typical rate

4.5% p.a.

prime borrower, 2026

Typical term

25 years

most common

Market overview

UAE mortgages are split into UAE national and expat segments, with different LTV caps and rate access. Major lenders include Emirates NBD, Mashreq, ADCB, FAB, and HSBC. Most rates are tied to EIBOR (Emirates Interbank Offered Rate) with 1-5 year fixed options. Post-2024 rate cuts brought 3-year fixed rates to 4-5% for prime borrowers.

Why 4.5% is the typical rate

4.5% is typical for a 3-year fixed mortgage at 75% LTV for a UAE resident expat with stable salary income. UAE nationals and Golden Visa holders may access slightly better rates.

Tax & regulatory notes

No income tax, no mortgage interest deduction (none needed). Dubai Land Department fee is 4% of property value. Loan-to-Value capped at 80% for UAE nationals (first property under AED 5M), 75% for expats. Mortgage registration fee is 0.25% of loan amount.

Local banks

United Arab Emirates mortgage rates by bank

The main mortgage lenders in United Arab Emirates, with indicative 2026 rates and typical loan-to-value caps. Rates vary by borrower profile, residency and property type — use the calculator above with each bank's quoted rate to compare your real monthly payment.

Emirates NBD

3.9–4.8% LTV up to 80% (expats)

Dubai's largest bank and one of the biggest mortgage books in the UAE. Fixed-then-EIBOR structures are standard (2–5 years fixed, then EIBOR + margin); salary-transfer customers get the best pricing.

FAB (First Abu Dhabi Bank)

3.9–4.7% LTV 80–85%

The UAE's largest bank by assets, strong in Abu Dhabi and increasingly competitive in Dubai. Central Bank caps apply: 80% LTV for expat first homes under AED 5M, 85% for UAE nationals.

ADCB & Mashreq

4.0–5.0% LTV up to 80%

Aggressive challengers on rate promotions and pre-approvals — Mashreq in particular for digital-first applications and non-resident investor mortgages on Dubai property.

Dubai Islamic Bank (DIB)

4.0–5.0% LTV up to 80%

Largest Islamic lender: Ijara and Murabaha home finance with profit rates broadly level with conventional EMIs. Popular with buyers who want Sharia-compliant structures on the same EIBOR-linked economics.

Indicative rates compiled from public bank disclosures and central-bank data for 2026; not a quote or an offer of credit. Confirm current terms directly with the lender.

🧮 Worked example

A AED 2,000,000 mortgage at 4.5% over a 25-year term for a UAE resident

Loan amount

AED 2,000,000

Annual interest rate

4.5%

Term

25 years (300 months)

Monthly payment

AED 11,117

Total interest paid

AED 1,334,995

Total paid (principal + interest)

AED 3,334,995

❓ FAQ (United Arab Emirates)

Common questions in United Arab Emirates.

Can expats get a UAE mortgage?

Yes. Most major UAE banks lend to salaried expats earning at least AED 15,000-25,000/month with 2+ years of UAE employment. LTV is capped at 75-80% for residents. Non-residents can get mortgages but face lower LTV (50-60%) and higher rates.

EIBOR vs fixed-rate UAE mortgages — which is better?

EIBOR-floating tracks the interbank rate (currently 3-month EIBOR around 4.3%) + a bank margin of ~1.5%. Fixed (2-5 years) gives certainty but typically costs 50-100 bps more than the floating rate at signing. With rates declining, EIBOR-floating has been the better deal in 2025-2026.

Is rental income enough to qualify for a UAE mortgage?

Most UAE banks discount rental income at 60-70% when assessing serviceability. You'll typically need salary income on top of rental for the primary qualification. Investor mortgages exist but with higher LTV caps and rate premiums.

🌍 Other countries