| Down payment (20%) | AED 360,000 |
| Total interest over the term | AED 900,309 |
| Payment if rates rise 2 points | AED 9,499 a month |
Cash you need on the day
| Dubai Land Department fee (4% + AED 580) | AED 72,580 |
| Mortgage registration (0.25% of loan + AED 290) | AED 3,890 |
| Trustee office fee (incl. VAT) | AED 4,200 |
| Agent commission (2% + VAT) | AED 37,800 |
| Bank arrangement fee (up to 1% + VAT) | AED 15,120 |
| Valuation (about AED 3,000 + VAT) | AED 3,150 |
| Fees and costs | AED 136,740 |
| Down payment + costs | AED 496,740 |
Costs are about 7.6% of the price on top of the down payment. Banks will not lend these.
The rule of 72: divide 72 by your yearly return to see how many years it takes to double your money. At 6%, about 12 years.
A standard rule of thumb in financeUAE mortgage rules in brief
The Central Bank of the UAE sets the most a bank can lend against a home (the loan to value, or LTV):
| Expats | UAE nationals | |
|---|---|---|
| First home up to AED 5m | 80% | 85% |
| First home above AED 5m | 70% | 75% |
| Second home or investment | 60% | 65% |
| Off-plan | 50% | 50% |
Loans run for up to 25 years, and all your monthly debt payments together, including credit cards and car loans, can't exceed 50% of your income. Banks also look at your age at the end of the loan, usually 65 for expats and 70 for nationals.
The costs on top
Budget roughly 7% to 8% of the price on top of the down payment in Dubai, less in Abu Dhabi. The biggest item is the Dubai Land Department transfer fee of 4%. Then come mortgage registration, the trustee office, the agent's 2% plus VAT, the bank's arrangement fee and a valuation. Banks don't lend for any of these.
Questions people ask
How much down payment do I need in Dubai?
At least 20% for an expat buying a first home up to AED 5 million, 30% above that, 40% for a second home and 50% off-plan. UAE nationals need 5 points less.
What are the extra costs of buying in Dubai?
About 7% to 8% of the price: the 4% Dubai Land Department fee plus AED 580, mortgage registration (0.25% of the loan plus AED 290), the trustee fee, the agent's 2% plus VAT, the bank fee and a valuation.
What is the maximum mortgage term in the UAE?
25 years, and most banks want the loan repaid by 65 for expats or 70 for UAE nationals.
What is the debt burden ratio?
All your monthly loan and card payments divided by your monthly income. UAE rules cap it at 50%.
More money calculators
Estimates, not advice. Our calculators follow the published rules as we understand them (checked October 2026), but they are not financial, tax or legal advice. Rules change and your contract, bank or free zone may differ. Confirm with MOHRE, the Federal Tax Authority, your bank or a licensed adviser before you act. Full disclaimer