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SERVICES details

Mortgage loan

Mortgage loan

🏠 Mortgage Loan Process

1. Eligibility Check

  • Income: Minimum monthly income of AED 10,000 for expats, AED 5,000 for UAE nationals

  • Age: Between 21 and 65 years at loan maturity

  • Credit Score: Checked via Al Etihad Credit Bureau (AECB)

2. Pre-Approval

  • Submit a pre-approval application to assess borrowing capacity

  • Bank evaluates income, liabilities, and repayment ability

3. Property Selection

  • Choose a property within your pre-approved budget

  • Eligible properties include newly constructed, under construction, or ready properties

4. Formal Mortgage Application

  • Submit the formal application with required documents (see below)

5. Property Valuation

  • Bank arranges a licensed valuation to determine market value

  • Valuation influences the loan amount approved

6. Approval and Mortgage Offer

  • Bank issues offer letter detailing loan amount, interest rate, repayment schedule, and fees

7. Sign the Mortgage Agreement

  • Review terms carefully and sign the agreement

  • Return signed copy to the bank for processing

8. Loan Disbursement

  • Bank disburses funds, usually directly to the seller or developer

  • You may need to pay a down payment or initial deposit (typically 20–25%)

9. Start Repayment

  • Monthly repayments start as per agreement, covering principal and interest

  • Setup of standing instructions for automatic payments is common

📄 Documentation Requirements

For UAE Nationals

  1. Emirates ID (valid copy)

  2. Passport copy

  3. Residence visa (if applicable)

  4. Salary certificate from employer

  5. Bank statements (last 3–6 months)

  6. Title deed/property ownership documents

  7. Proof of additional income (if any)

  8. Marriage certificate (if spouse involved)

For Expats

  1. Emirates ID

  2. Passport copy with UAE residence visa

  3. Salary certificate

  4. Bank statements (last 3–6 months)

  5. Title deed/property documents

  6. Proof of other income

  7. Credit report from AECB

  8. Marriage certificate (if spouse involved)

Additional Documents (If Applicable)

  • Property appraisal report

  • Trade license and business financials for self-employed

  • Proof of down payment (20–25% of property value)

🔑 Key Points to Consider

  • Loan-to-Value (LTV) Ratio: Up to 80% for expats (first property), 75% for subsequent; up to 85% for UAE nationals

  • Interest Rates: Fixed or variable options available

  • Repayment Term: Usually 15 to 25 years

  • Insurance: Home and life insurance often required

  • Processing Fees: Includes application, valuation, insurance — typically 1–2% of loan amount

  • Early Repayment Penalties: Check agreement terms for any fees

❓ Frequently Asked Questions (FAQs)

  1. How much can I borrow?
    Up to 80% LTV for expats, 85% for UAE nationals; lower for properties above AED 5 million.

  2. Minimum salary requirement?
    Generally AED 10,000/month for expats and AED 5,000/month for nationals.

  3. Can self-employed individuals apply?
    Yes, with additional documents like trade license and financials.

  4. Down payment required?
    Usually 20–25% of property value.

  5. Any additional fees?
    Yes, including application fees, valuation, insurance, and processing fees.