Non-resident mortgages: rates, LTV and who qualifies in 2026

How much can you borrow?

Two layers govern this. The UAE Central Bank caps residents at 80% LTV (expat, first home under AED 5M; 70% above) and everyone at 50% for off-plan. Non-residents aren’t a separate regulatory category, what limits them is bank credit policy, which in practice means 50–60% LTV on ready property at most lenders. Budget for a 40–50% down payment plus ~7% transaction costs.

Rates in mid-2026

With 3-month EIBOR around 3.7–3.8%, resident headline fixed rates start near 3.8–4.0%. Non-residents typically pay a 0.5–1 point premium: realistic fixed rates of roughly 3.9–4.5%, or variable deals around EIBOR + 1.3–2%. The maximum term is 25 years (a regulatory limit), repayments can’t exceed 50% of gross income (the debt-burden ratio), and most banks want the loan repaid by age 65–70.

Who lends, and what they ask for

FAB and Mashreq publish dedicated non-resident mortgage products (both up to AED 10M); HSBC, Emirates NBD, RAKBANK, ADIB and others lend to non-residents through brokers. Minimum income requirements vary widely, from around AED 15,000/month equivalent at some banks to AED 30,000–40,000 at premium lenders. Banks maintain lists of accepted countries; UK, EU, US, Canada, Australia, GCC, India and China profiles are widely accepted.

The document set is consistent: passport, 3–6 months of bank statements, proof of income (payslips or, for the self-employed, trade licence plus 2–3 years of financials), a home-country credit report and proof of address. Income in major currencies is accepted. A UAE bank account is required but can be opened remotely, and the entire purchase can be executed via power of attorney without flying in.

The fees

Bank arrangement fee ~1% of the loan; valuation AED 2,500–3,500; Dubai mortgage registration 0.25% of the loan plus ~AED 290 (Abu Dhabi: 0.1%, capped at AED 1,000); mandatory life insurance (bank group policies are cheap; external policies usually assignable); plus the standard purchase costs. 4% DLD in Dubai or 2% in Abu Dhabi, and 2% + VAT agency on resale purchases.

A worked example: the cash for an AED 2 million purchase

Take an illustrative ready apartment in Dubai at AED 2,000,000, bought by a non-resident with a 50% mortgage. The down payment is AED 1,000,000. On top of it come the Dubai Land Department’s 4% registration fee (AED 80,000), which the buyer usually pays in full, the trustee office fee of AED 4,000 plus VAT (AED 4,200) and about AED 560 of fixed DLD fees for the title deed, map and related charges. Agency commission at 2% plus VAT adds AED 42,000. The mortgage itself costs about AED 2,790 to register (0.25% of the loan plus about AED 290), an arrangement fee of about AED 10,000 and a valuation of AED 2,500 to 3,500. That is about AED 142,000 in costs, close to the 7% budgeted above, and about AED 1.14 million in cash in all, or 57% of the price, before life insurance. At 60% loan-to-value the down payment falls to AED 800,000 and the cash needed to about AED 945,000. In Abu Dhabi the registration fee is 2% of the higher of the price and the official valuation, which the law shares equally between buyer and seller unless the contract says otherwise, so the same purchase would carry AED 20,000 to 40,000 in registration rather than AED 80,000.

Tax on the rent and on the sale

The UAE side of the tax question is short. There is no personal income tax, and under Cabinet Decision No. 49 of 2023 rental income an individual earns from UAE property held without a business licence falls outside UAE Corporate Tax whatever the amount, for residents and non-residents alike. The same exclusion covers the gain when an individual sells a property held as a personal investment, and neither Dubai nor Abu Dhabi charges an annual property tax. If you let the property in Dubai, the Dubai Municipality housing fee of 5% of the rent is the tenant’s, collected through their DEWA bill, so it does not come out of your income. Owning through a company brings different rules. The question that decides your net return sits at home: your country of residence may tax the rent, the gain or both. Take advice there before you buy, ideally at the same time as the mortgage pre-approval, so the numbers you underwrite are the numbers you keep.

Process and timeline

Pre-approval takes 5–10 business days and is valid for 60 days (some banks 90). Then: find the property, sign the MOU with a ~10% deposit cheque, bank valuation, final offer letter (2–4 weeks from full application), and settlement at the trustee office where the title deed issues same-day with the mortgage noted. End to end, plan for 6–12 weeks. Get the pre-approval before you shortlist. It defines your real budget and makes you a cash-equivalent buyer in negotiations.