You can borrow against off-plan property in the UAE, but the Central Bank caps the loan at a lower share of the value than for ready homes, and banks release funds only as construction is confirmed. Some buyers pay the developer's plan from their own funds and take a mortgage at handover. This guide explains the limits, costs, documents and timing.
Yes, you can get a mortgage on off-plan property in the UAE, but on stricter terms than for a ready home. The Central Bank of the UAE caps borrowing on property bought off-plan at 50% of the property value, whatever your nationality, the property’s value or its purpose. Banks also release loan money to the developer only as construction is confirmed. Because of this, some buyers pay the developer’s instalments from their own funds and take a mortgage at handover, when the completed-home limits can apply.
This guide explains how the Central Bank rules work, the costs involved and when to apply. It does not quote interest rates or name lenders. Next Reality is a real estate brokerage, not a bank or mortgage lender, and this is general information, not lending advice.
The Central Bank’s Regulations Regarding Mortgage Loans apply to all banks and finance companies it licenses. They treat off-plan property as higher risk, and say so directly: given the long development process and the higher risk to completion, the off-plan cap is 50% of the property value.
The same regulations set how an off-plan loan is paid out:
DLD has matching services. A developer can register a sale together with a mortgage when the buyer has financing, and banks can register a provisional mortgage on an Oqood (off-plan) registration. For that, DLD asks for a no-objection e-certificate from the developer through the Dubai REST app.
Each bank’s lending policy decides whether it lends on off-plan property at all, and on which projects. Ask each bank directly.
The loan-to-value ratio (LTV) is the loan as a share of the property’s appraised value. The Central Bank sets these maximums:
| Buyer and property | Maximum loan-to-value |
|---|---|
| Expatriate, first home, value up to AED 5 million | Max 80% LTV |
| Expatriate, first home, value above that | Max 70% LTV |
| UAE national, first home, value up to AED 5 million | Max 85% LTV |
| UAE national, first home, value above that | Max 75% LTV |
| Second or later home, or investment property | Expatriates max 60%; UAE nationals max 65% (any value) |
| Property bought off-plan, any buyer | 50% of the property value |
A few points matter here:
Because of the lower off-plan cap and the staged release of funds, some buyers split the purchase in two:
At handover, the property is no longer off-plan, so the completed-home limits in the table can apply, subject to the bank’s assessment. This route works only if the payment plan leaves enough of the price for handover to make a mortgage worthwhile, and if you can show the bank you can afford it at that time. Your income, your other debts and interest rates can all change between booking and handover.
The guide to off-plan payment plans explains how plans split the price between construction and handover.
Plan for a shortfall
A bank’s decision at handover is not known when you book. If the bank lends less than you planned, or declines, you still owe the developer the handover payment under your contract. Before you book, work out how you would pay the handover amount without a loan, or with a smaller one.
The Central Bank sets three affordability limits.
The regulations add a few more points that shape what you can borrow:
Use the mortgage calculator to see how the term and rate change a monthly payment.
A mortgage brings two kinds of cost.
DLD registration. The mortgage is registered with the Dubai Land Department. DLD charges 0.25% of the mortgage value. It also lists these fixed fees: AED 250 per title deed, AED 10 knowledge and AED 10 innovation fees per drawing, and a service partner fee of AED 4,000 plus VAT (AED 5,000 plus VAT for a provisional or Oqood registration). When a bank files through DLD’s online system, DLD’s page says the fees are deducted from the bank’s account, so ask whether the bank passes them on to you.
Bank fees. Banks set their own processing, valuation and other fees. The Central Bank caps some of them. For early settlement, for example, the cap is 1% of the outstanding balance or AED 10,000, whichever is less. The Central Bank also says that charges for refinancing with another bank or repaying early are limited to the actual cost of breaking a fixed rate and the fees in its regulations, and that there should be no barrier to refinancing.
Under the Consumer Protection Standards, the bank must give you a Key Facts Statement before you sign. It must show the expected interest rate, whether it is fixed or variable, the possible fees and an example of the early settlement cost. You also have a cooling-off period after signing, set by the Central Bank, unless you waive it in writing.
The full cost of buying off-plan guide puts these fees alongside the DLD registration fee and service charges.
The Central Bank requires banks to verify income and collect a full income and liabilities history. The exact list varies by bank, but banks commonly ask for:
Non-residents can borrow from some UAE banks, but criteria and documents vary more. The guide to UAE mortgages for non-residents covers that case.
Questions about your own purchase?
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There is no Central Bank rule on when to apply, so timing is a practical question. Three things help.
Read the Key Facts Statement for each offer and compare the full cost, not just the rate.
Before a bank commits to lend, the Central Bank requires an independent on-site valuation by a qualified valuer who is independent of you, the seller, the developer and the bank’s lending decision. The valuation must not assume future price rises.
The LTV is a share of the appraised value, not the price you agreed. If the valuation comes in below the price, the maximum loan falls with it, and you must cover the gap from your own funds. At the same LTV, a lower valuation means a proportionally smaller loan, so your own contribution rises.
If this happens, you can ask the bank whether it will review the valuation, try another bank, or pay the difference yourself. You cannot borrow the gap through a personal loan or credit card, because the Central Bank expects the down payment to come from your own resources.
The Central Bank does not set mortgage interest rates, and we do not quote them. It does set rules on how terms are disclosed and changed.
Central Bank rules require mortgage adverts to carry a warning that you may lose your property if you do not keep up your repayments. That is the real risk of any secured loan. If you miss a payment and no other arrangement is in place, the bank must notify you in writing, under the Consumer Protection Standards. Speak to the bank early if your circumstances change; it is easier to agree a new arrangement before arrears build up.
If you sell a mortgaged property or move the loan to another bank, the mortgage has to be settled or transferred.
The guide to selling off-plan before handover covers resale when a unit is still under construction.
A mortgage at handover is a plan, not a certainty. Before you book, check that the payment plan, your own funds and a realistic loan add up. See the complete guide to buying off-plan in Dubai for how financing fits into the wider process. Our payment plan and mortgage guidance service can walk through the numbers with you; for a lending decision you deal with the bank directly.
Monthly repayments under UAE loan-to-value rules.
How we helpWe compare payment schedules and explain how UAE mortgage rules apply to off-plan purchases.
General information only
This page is general information, not legal, tax, immigration or financial advice. Rules and fees are set by the authorities and can change. Confirm the details with the authority or a licensed adviser before you act. Read our disclaimer.
For an expatriate's first home, the Central Bank caps the loan at Max 80% LTV for a property worth up to AED 5 million, and Max 70% LTV above that. For second homes and investment property: Expatriates max 60%; UAE nationals max 65% (any value). For off-plan property the cap is 50% of the property value. Banks may lend less.
Yes, some banks lend on off-plan property, within the Central Bank cap of 50% of the property value. The bank pays the developer only after your own share has been paid and construction milestones are confirmed. Some buyers instead pay the developer's plan themselves and borrow at handover, when the higher completed-home limits can apply. Ask each bank which approach it offers.
The Central Bank limits the loan term (Max 25 years). On age, there is no single rule. Set by each lender (the Central Bank sets no figure). If repayments run past your expected retirement, the bank must check that your retirement income can still cover them. Each bank applies its own policy within these limits, so the term you are offered may be shorter.
The Central Bank sets a ceiling on how much of your income can go on debt repayments. Debt repayments can take up to 50% of gross salary and regular income. That includes all your debts, not just the mortgage, and the bank must test affordability at a higher interest rate than the starting rate. The Central Bank tells banks not to apply the maximum automatically, so the amount you are offered may be lower.
Yes. The Central Bank caps early settlement fees on home loans: 1% of the outstanding balance or AED 10,000, whichever is less. The same cap applies to partial settlement. Your bank's Key Facts Statement must show an example of the early settlement cost. Fixed-rate loans can also carry the actual cost to the bank of breaking the fixed rate, so read the contract.
Official sources used on this page. Each was checked on the date shown.
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An off-plan payment plan is the developer's schedule for paying the price in instalments, written into your sales and purchase agreement. Instalments may be linked to construction stages, fixed dates or, in post-handover plans, run after you receive the keys. All payments towards the price go into the project's escrow account. This guide explains each structure, the costs at booking, mortgages and what happens if you miss a payment.
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Buying off-plan in Dubai costs the price plus a Dubai Land Department registration fee, small DLD charges and, if you borrow, mortgage registration and bank fees. After handover you pay service charges. This guide lists each cost at booking, during construction, at handover and after, with the official fee pages, so you can budget before you sign. Every government figure links to its official source.
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Non-residents can borrow from some UAE banks to buy property in Dubai, but whether a bank lends to you, and on what terms, is the bank's decision. The Central Bank's limits on loan size, term and affordability still apply. This guide explains those limits, the documents banks usually ask for, how off-plan lending works and the alternatives. It does not quote rates or name banks.
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