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1. Calculate your budget
Before you start looking for a mortgage, it is important to draw up a detailed list of your income and expenses.
Before you set out to find your dream home, it is crucial to understand your financial situation in detail. A detailed look at your income and expenses will not only give you clarity about how much "house" you can afford, but also enable you to set realistic expectations. Also take into account any additional financial burdens, such as an addition to the family or career changes. It is important to note that banks do not grant unlimited loans for home purchases, and the amount of the loan depends, among other things, on your net income. This is your total household income minus taxes and social security contributions. Banks usually set a maximum of 35% of your net income as the monthly installment.
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2. Calculate equity
Equity is the most important key to solid home financing and is the fastest way to open the door to home ownership.
The higher your equity, the more attractive your financing options will be when buying property in the UAE. In Dubai, banks usually require foreign buyers to have equity of at least 40% of the property value. This not only strengthens your credit rating, but also reduces the loan amount and thus your monthly payments.
Our experts recommend not investing your entire assets—a financial reserve remains essential to be able to respond to unforeseen costs or market fluctuations. Equity can come from various sources: cash, fixed-term deposit accounts, securities, or real estate sales.
Tip: Many developers in Dubai offer interest-free payment plans – an attractive alternative to traditional bank financing. This allows you to pay for your property in installments over the construction period, without interest and with greater flexibility.
We help you develop the optimal financing strategy – individual, transparent, and tailored to your goals.
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3. Compare financing offers in Dubai: What you should look out for
A real estate loan in the UAE can vary greatly depending on the provider, so it is worth comparing them thoroughly. Obtain several offers and pay particular attention to the effective interest rate, which takes into account all relevant financing costs. In Dubai, this includes not only the nominal interest rate, but also processing fees, account management fees, broker commissions, and possible transfer fees of up to 4% of the property value.
A low effective interest rate can significantly reduce your overall costs and optimize your monthly payments. In addition, you should check the following conditions:
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🔒 Fixed interest rate: Fixed interest rates offer stability, while variable interest rates may be cheaper in the short term but carry risks
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💸 Special repayments: Flexibility in early repayment saves interest
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🔁 Repayment options: Adjustable rates depending on your life situation
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🚫 Early repayment penalty: Check possible costs for early repayment
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4. Real estate financing in the UAE: Special features
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No government grants or subsidies for foreign buyers
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Islamic financing models such as murabaha or ijara are common
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Interest-free payment plans directly from the developer are a popular alternative to traditional mortgages
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Foreign buyers usually have to provide 20–50% equity
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No property tax, but one-time fees such as the 4% Dubai Land Department transfer fee apply
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- 5. Sign the contract
Once you have all the documents together and have decided on a financing solution, you can sign the contract.
You should not take this step without professional support. As experienced brokers, you can rely on us to help you carefully review the contract and ensure that all terms and conditions meet your expectations and are acceptable to you. Our advisors are at your side throughout the entire process and offer you comprehensive support with all questions and concerns relating to your home financing.
We place great importance on understanding the individual needs and wishes of our customers. We conduct detailed consultations to accurately grasp their ideas for their own home and develop a clear plan together.
We then support our customers in finding the ideal location for their home. In doing so, we take important factors such as location, infrastructure, surroundings, and future prospects into account. Our goal is for our customers to not only get a house, but a real home that meets their individual needs and ideas and where they feel completely at ease.
Our extensive database contains many properties that could become your new home
We attach great importance to understanding the individual needs and wishes of our customers. We conduct detailed consultations to accurately capture your ideas for your home and develop a clear plan together.
We then support our customers in finding the ideal location for their home. In doing so, we take important factors such as location, infrastructure, surroundings, and future prospects into account. Our goal is for our customers to not just get a house, but a real home that meets their individual needs and ideas and where they feel completely at ease.
