Mortgages for expats in the UAE: LTV limits and eligibility

Expats living in the UAE can get a mortgage from UAE banks. Central Bank of the UAE rules let banks lend up to 80% of the value of a first home to live in under AED 5 million, 70% above that and 60% for a second or investment property. Loans run for up to 25 years, and all debt repayments must stay within 50% of income.

Key takeaways

• Expats can borrow up to 80% of a first home under AED 5 million, 70% above it and 60% for a second or investment property.
• Off-plan purchases are capped at 50% loan-to-value for every buyer.
• The loan can run for up to 25 years and cannot exceed 7 times annual income for an expat.
• All debt repayments must fit within 50% of income, with the mortgage tested at 2 to 4 percentage points above its rate.
• The down payment must come from your own money, not from a personal loan or a credit card.

These are ceilings, not entitlements. Your loan is the lowest of the three limits explained below, and each bank can lend less under its own policy on income, age and documents. This guide is for expats who live in the UAE; if you live abroad, see mortgages for non-residents.

How much you can borrow: the LTV caps

The Central Bank caps the share of a property’s value that a lender can finance. That share is the loan-to-value ratio, or LTV: an AED 800,000 loan on an AED 1,000,000 home is an LTV of 80%. For an expat, the cap depends on three things: whether this is your first home to live in, what the property is worth, and whether it is finished or bought off-plan.

UAE nationals are shown for comparison only. The caps are maximums. The Mortgage Regulations tell lenders to use lower LTVs where risks are higher, so a bank can offer less than the table shows.

First home to live in

A first home that you will live in gets the highest cap. Each borrower can claim only one property in this category.

First home under AED 5 million

80%

Expatriates buying a first home to live in worth less than AED 5 million can borrow up to 80% of the property's value.

First home over AED 5 million

70%

Expatriates buying a first home to live in worth more than AED 5 million can borrow up to 70% of the property's value.

The Rulebook words the two bands as “less than” and “more than” AED 5 million. If the price is close to that line, ask the lender which band it will apply before you agree a price.

Second home or investment property

A second or later home, or a property bought to rent out, is capped at 60% whatever its value. That means a deposit of at least 40%.

Second home or investment property

60%

For expatriates, the maximum loan-to-value on a second or subsequent home or an investment property is 60%, whatever the property's value.

Off-plan property

A property bought before it is built can be financed up to 50%, for nationals and expats alike.

Off-plan property, all buyers

50%

The maximum loan-to-value for a mortgage on a property bought off-plan is 50%, regardless of purpose, value or buyer type.

Where a bank finances a property under construction in stages, it must use your share of the price first. It then releases loan money only against construction milestones checked by the bank or by an independent professional (Article 2). How a bank loan for an unfinished home compares with a developer’s payment plan is covered in financing off-plan property.

The three limits that decide your loan

Three rules apply at the same time, and the lowest result sets your maximum loan.

Loan-to-value

The LTV cap limits the loan against the property. A cheaper home or a bigger deposit keeps you under it. The Mortgage Regulations also tell lenders not to rely on the LTV in place of checking that you can repay, so a large deposit does not replace the income tests.

Debt burden ratio and the stress test

Your debt burden ratio (DBR) is the share of your gross monthly income that goes on loan and card repayments. Every repayment to a bank or finance company counts, including car loans, personal loans, credit cards and the new mortgage.

Maximum debt burden ratio

50%

Monthly deductions for all loans and facilities from banks and finance companies together, including car loans, home loans, overdrafts and credit cards, must not exceed 50% of the borrower's gross salary and any regular income from a defined and specific source, at any time.

For a mortgage, the instalment in this test is worked out at a higher rate than the one you will actually pay.

Mortgage stress test

+2 to 4 points

When working out the debt burden ratio, mortgage lenders must stress-test the loan at 2 to 4 percentage points above its current interest rate; with an introductory rate, the test uses the rate that applies after it ends.

Other parts of the assessment can lower the figure further. Under Articles 2 and 3 of the Mortgage Regulations:

• bonuses and other irregular income are discounted, or left out if they are not guaranteed;
• the lender allows for normal household spending, not only your other debts;
• the assessment cannot rely on the property rising in value or on your salary going up;
• lenders are told not to apply the 50% maximum automatically.

Lenders see your existing loans and cards on your credit report, so check your AECB report before you apply and dispute any errors first. The debt burden ratio calculator shows how much of your income is already committed.

Income multiple

On top of the DBR, an expat’s mortgage cannot be more than 7 times annual income. On a salary of AED 25,000 a month, that is AED 25,000 × 12 × 7 = AED 2,100,000.

Maximum loan for expats

7× annual income

On top of the 50% DBR cap, the maximum mortgage amount for an expatriate is 7 times annual income.

Which limit binds depends on the rate, the term and your other debts; in the worked example below, it is the DBR.

Term and age limits

A UAE mortgage can run for up to 25 years. The Central Bank does not set a maximum age; each lender decides the age by which the loan must be repaid, and that age can shorten your term.

Maximum mortgage term

25 years

The maximum tenor of a mortgage loan is 25 years.

Age at the last repayment

Lender policy

The Central Bank does not set a fixed maximum age at the last mortgage repayment; each lender sets it under its own risk management and lending policy.

In practice, bank policy sets the age. On 13 October 2026, the Emirates NBD home loan page said the loan must end by age 65 for salaried borrowers and by 70 for self-employed borrowers. Mashreq’s home loan page gave the same ages, but its Key Facts Statement (last revised 19 June 2026) gave 70 for both. Lenders differ and policies change, so ask the bank you apply to which age limit it will use. If you read that the Central Bank sets a fixed age limit, note that the current Rulebook text leaves the age to the lender.

Age matters because it cuts the term, and a shorter term means a larger instalment. At a bank that wants salaried borrowers to finish repaying by 65, a 45-year-old has at most 65 minus 45 = 20 years. On a loan of AED 1,200,000 at an illustrative 7%, the instalment is about AED 9,304 a month over 20 years, against about AED 8,481 over 25 years.

If repayments will run past your expected retirement age, the lender must also check that the balance left at retirement stays affordable on your retirement income.

Your deposit and the cash on top

Your deposit is the price minus the loan: at least 20% for a first home under AED 5 million, 30% above that, 40% for a second or investment property and 50% for off-plan. It must be your own money.

Source of the deposit

Own funds

The down payment must come from the borrower's own resources, not from other borrowing such as personal loans or credit cards.

Borrowed money, such as a personal loan or a cash advance on a credit card, cannot fund it. Ask the lender early what evidence of the source of funds it will want.

The table shows the minimum deposit at the Central Bank caps for three illustrative prices. A lender can ask for more.

Before the bank commits to lend, an independent valuer must inspect the property on site.

Property valuation

Independent valuation

Before any irrevocable commitment to lend, the property must be valued on site by a qualified third party who is independent of the borrower, seller, developer and the lending decision.

If the valuation comes in below the price you agreed, ask the lender which figure it applies the LTV to before you sign a sale agreement.

The deposit is not the only cash you need. In Dubai, buyers also pay Dubai Land Department fees for the transfer and for registering the mortgage, plus valuation and bank charges. Our guide to DLD and mortgage registration fees lists them with a cash-needed example.

Worked example: an AED 1.5 million first home

An expat buying a first home for AED 1,500,000, with no other debts, can borrow up to AED 1,200,000 if their gross income is at least about AED 16,963 a month, using an illustrative 5% rate and the lowest stress margin of 2 points. Here is the working.

Worked example

First home for AED 1,500,000, 25-year term, no other debts

The price, the 5% rate and the stress margins are illustrations, not market rates.

1. LTV cap: AED 1,500,000 × 80% = AED 1,200,000 maximum loan. Deposit: AED 1,500,000 minus AED 1,200,000 = AED 300,000.
2. Income multiple: AED 1,200,000 ÷ 7 = AED 171,428.57 a year, or about AED 14,286 a month. Below this income, the 7 times rule would cap the loan.
3. Stress-tested rate: 5% + 2 points = 7% a year.
4. Instalment at 7% over 25 years (300 monthly payments), using the standard reducing-balance formula: about AED 8,481.35 a month.
5. DBR test: AED 8,481.35 ÷ 50% = AED 16,962.70 of gross monthly income needed.
6. The DBR needs more income (about AED 16,963) than the income multiple (about AED 14,286), so the DBR is the limit that binds.

Stress margin	Test rate	Instalment used in the test	Minimum gross monthly income
2 points	7%	AED 8,481	AED 16,963
4 points	9%	AED 10,070	AED 20,141

With no other debts, this buyer needs about AED 16,963 to AED 20,141 a month in gross income, depending on the stress margin, to borrow AED 1,200,000.

The instalment actually paid at 5% would be about AED 7,015 a month; the higher figures are only used for the test. Now suppose the buyer earns AED 15,000 a month. Half of that, AED 7,500, supports a loan of about AED 1,061,152 at the 7% test rate over 25 years. The income multiple (AED 15,000 × 12 × 7 = AED 1,260,000) and the LTV cap (AED 1,200,000) are both higher, so the loan would be about AED 1,061,152 and the deposit about AED 438,848. Any existing car loan or card repayment would reduce these figures. Try other numbers in the mortgage affordability calculator.

Eligibility and documents

Resident expats can apply if repayments will come from salary or from verifiable business or rental income, and the numbers pass the three limits above. Each bank adds its own conditions, such as a minimum income, time in your job and an age limit.

Where repayments must come from

No end-of-service

Mortgage repayments must come from salary or verifiable business or rental income; end-of-service benefits may not be used, and repayments must be at least quarterly on a reducing-balance basis.

Minimum income is set by each bank. On 13 October 2026, Emirates NBD and Mashreq both listed AED 15,000 a month as their minimum for resident applicants. Lenders must verify your income and keep a full record of your income and debts, so expect follow-up requests. Some banks, Mashreq among them, offer a pre-approval that estimates how much you could borrow.

This guide covers expats with UAE residence. Buyers who live abroad face different bank criteria.

Salaried applicants

Between them, the published lists of Emirates NBD and Mashreq (checked 13 October 2026) include:

• passport, UAE residence visa and Emirates ID;
• a salary certificate addressed to the bank, with payslips if your salary varies;
• your last six months of bank statements;
• a liability letter from your current bank;
• proof of address, such as a tenancy contract;
• the purchase contract and receipts for the down payment.

Self-employed applicants

The limits are the same, but proving income takes more paperwork. The two banks’ self-employed lists include:

• a trade licence and Chamber of Commerce registration;
• the memorandum and articles of association;
• audited financial statements for the last two years;
• personal and company bank statements.

Emirates NBD also asks for the company to have operated for at least 3 years. Because only reliable and sustainable income counts, profits that swing from year to year may count for less.

Joint applications

Joint mortgages follow each bank’s own policy. Mashreq says all co-owners of the property must be co-borrowers. Emirates NBD accepts joint loans with a spouse or other approved relatives and says every borrower must meet its minimum salary. Ask how the bank combines incomes and debts in the DBR before you apply.

If you want a Sharia-compliant structure instead of an interest-based loan, see Islamic home finance and how Islamic and conventional finance compare.

Life and property insurance

Insurance is a separate product from the mortgage, and how you pay for it is your choice.

Paying for insurance

Customer's choice

Loans and insurance are separate products: the customer chooses whether to pay for insurance over the loan term or upfront, and the bank must explain this and get the customer's agreement before charging for it.

A lender can still make cover a condition of the loan. When it does, the Consumer Protection Standards require it to explain why, put the cost of its own policy in writing and let you choose from insurers it has approved.

Choice of insurer

At least 3 insurers

Where insurance or takaful is a mandatory part of a credit or financing product, the lender must explain its purpose, disclose the cost of its own policy in writing and let the consumer choose a provider from at least 3 insurance or takaful providers the lender has approved.

Some banks do make it a condition. Mashreq’s home loan page says life and property insurance are both required before the loan is paid out, and that some existing life policies can be assigned to the bank if they meet its criteria. Emirates NBD lists credit life insurance among its home loan charges, says the bank insures the property for the loan term and accepts an existing life policy subject to approval.

If premiums are added to the loan, you pay interest on them as well, and the bank must tell you about that extra cost.

Interest rates: fixed, variable and EIBOR

UAE home loans come with a fixed rate, a variable rate, or a fixed rate for the first years that then turns variable. A variable rate is a benchmark rate plus a margin that the bank adds. Mashreq’s Key Facts Statement, for example, links its variable rate to 3-month EIBOR (the Emirates Interbank Offered Rate), keeps its margin fixed for the life of the loan and sets a minimum rate.

Your Key Facts Statement must say clearly whether the rate is fixed, variable or a mix. For a variable loan, it must also show with an example what a rate rise would do to your instalment (Consumer Protection Standards, Article 2). At Emirates NBD, for example, fixed rates usually cover the first 2, 3 or 5 years before the loan moves to a variable rate.

Notice before a margin increase

30 days' notice

Where a loan's rate can change, the lender may not raise the margin it adds to the variable base rate until 30 calendar days after notifying the consumer.

The 30-day wait covers only the margin. A change in the benchmark itself follows the terms of your contract, although the bank must still tell you about any change in your rate. We do not quote EIBOR or bank rates because they change often. What EIBOR is and how it feeds into a variable rate is explained in EIBOR and your mortgage.

If you sell, move the loan to another bank or pay off part of it early, the bank’s fee is capped.

Early settlement fee cap

1% or AED 10,000

Early settlement and partial settlement fees on a home loan are capped at 1% of the outstanding balance or AED 10,000, whichever is less.

On a balance of AED 800,000, 1% is AED 8,000, which is below AED 10,000, so the cap is AED 8,000. On AED 1,500,000, 1% would be AED 15,000, so the AED 10,000 limit applies. VAT comes on top. If you choose a fixed rate, ask the lender before you sign what it would charge to settle during the fixed period.

Buying to let

Expats can finance a property to rent out, but the loan is capped at 60% of its value and the lender treats the rent with caution. When it counts rental income in the DBR, it must allow for months when the property stands empty.

Allowance for empty periods

2 months' rent

For an investment property, the lender must deduct at least two months' rental income from the DBR calculation to allow for empty periods.

If a flat is expected to rent for AED 7,500 a month, a year’s rent is AED 90,000. Deducting two months (AED 15,000) leaves AED 75,000 a year, or AED 6,250 a month, as the most rental income the lender can count.

Interest-only repayment is allowed for investment loans only, and for a limited period. Once it ends you repay principal and interest over the rest of the term, and the lender must be satisfied at the start that you can afford those higher payments.

Interest-only period

Max 5 years

Interest-only (deferred principal) mortgages are allowed only for investment loans, and principal may not be deferred for more than 5 years from the first drawdown.

For upfront costs, Islamic home finance and the other topics in this series, see all our mortgage guides.