How to get a mortgage in Abu Dhabi as a non-resident

Foreigners have been allowed to buy property in specific investment zones since 2019. These include Saadiyat Island, Al Reem Island, and parts of Yas Island. Non-residents are permitted to purchase freehold or leasehold units depending on the area. Freehold ownership gives you permanent rights to the unit and land. Leasehold typically ranges from 50 to 99 years. Always verify property classification before committing to any sale agreement.

Banks in Abu Dhabi offer non-resident mortgages for both off-plan and completed properties

Many local and international banks provide mortgages to non-resident buyers. You can finance both off-plan and ready properties. However, off-plan financing is more restricted. The developer must be registered and approved for mortgage release during construction phases. Completed properties have more flexible terms, especially in communities like Al Raha Beach or Al Ghadeer. Mortgage disbursements are tied to completion stages in off-plan cases.

You’ll typically need a 50% down payment as a non-resident

Unlike UAE residents, non-residents can usually finance only 50% of the property price. That means if you’re buying a property for AED 2 million, expect to pay AED 1 million upfront. This amount doesn’t include fees like the 2% agency commission or 4% registration cost. Some banks allow slightly more—up to 60%—for high-income earners or buyers of completed properties. But the 50% rule is your safest assumption when planning.

The mortgage term ranges between 5 and 25 years

Most banks in Abu Dhabi allow repayment over periods from 5 to 25 years. The shorter the term, the higher the monthly payment—but the lower the total interest paid. Loan terms depend on your age, income stability, and repayment capacity. Some banks have a policy that all mortgages must be cleared by age 65. Choose a term that balances affordability with your long-term financial planning.

Fixed and variable interest rate options are both available

You can choose a fixed interest rate for one to five years. After that, most banks switch to a variable rate tied to EIBOR. A fixed rate gives you certainty in your monthly payments, which is useful if your income is predictable. Variable rates might start lower but can increase with the market. Discuss both options in detail with your bank before signing a loan agreement.

You’ll need a strong credit profile and full documentation

Non-resident applicants must submit several documents: a valid passport, recent payslips, proof of address, and bank statements. You may also need a credit report from your home country. Some banks will verify income via your employer, while others require official letters. If you’re self-employed, expect to provide audited financials. Delays often come from missing documents, so prepare carefully. A broker can help you manage this process efficiently.

The property will undergo a valuation before mortgage approval

Before issuing a mortgage, the bank sends a certified valuer to assess the property’s market value. This ensures the bank isn’t lending above fair market rates. If the valuation comes back lower than your purchase price, you’ll have to pay the difference. Valuation fees usually range from AED 2,500 to AED 5,000 and must be paid in advance. Most banks only work with approved third-party valuation firms.

You may be required to buy life insurance to secure your mortgage

Some banks insist on life insurance to cover the mortgage amount in case of death. Others allow external policies if coverage meets the bank’s requirements. Premiums vary based on age, health, and loan amount. Group mortgage insurance packages sometimes offer lower rates for non-residents. Ask the bank if the cost is included in monthly payments or billed separately. Read the policy documents carefully before accepting any bundled offer.

Many international buyers use mortgage brokers for easier navigation

If you’re new to UAE property finance, working with a mortgage broker can save time and effort. Brokers often work with multiple banks and know which institutions accept your nationality or currency. They also guide you through paperwork, valuation, and legal documentation. As noted by the www.few.ae editor, using a broker often results in faster processing and clearer expectations. Best of all, many brokers are paid by banks—not you.

Pre-approval letters are essential before signing a sales agreement

Getting pre-approved helps you understand your borrowing limit and shows sellers you’re a serious buyer. This letter is valid for 60 to 90 days depending on the bank. It outlines your eligible loan amount, repayment term, and estimated interest rate. You’ll need to present it when negotiating with developers or agents. Many deals in Abu Dhabi fall through because buyers fail to get pre-approved early enough. Don’t make that mistake.

Applying for a mortgage in Abu Dhabi as a non-resident is absolutely possible—but preparation is key. Between paperwork, approvals, and property laws, every step matters. Understanding the full cost, from down payment to legal fees, protects your financial future.

Make sure you’re buying in a freehold zone and have a valid passport, proof of income, and solid financial records. Review all mortgage terms in detail before signing. Ask questions, compare offers, and avoid rushing into decisions.