Dubai Mortgage & Home Loan Rates Compared (June 2026)
- Jun 1
- 5 min read
Updated: 11 hours ago
Looking to buy property in Dubai or across the UAE? The mortgage market in 2026 has grown meaningfully more competitive — with the best one-year fixed rates starting from 3.49% at Dubai Islamic Bank and conventional options from 3.70% at HSBC. I've pulled the latest publicly advertised numbers from eight of the most widely used lenders so you can compare them side-by-side, without chasing eight different websites.
Rate data compiled from mortgease.ae (April 2026 rate cards), mortgagecompare.ae (May 2026), and bank product pages researched June 2026. The 3-month EIBOR (fcmb.ae) stands at 3.75% as of 15 June 2026 per the UAE Central Bank. Rates are indicative — verify with the bank before acting.
Angel's tip: before committing to any bank, get at least three live quotes — your actual rate depends on employer, LTV, and whether you salary-transfer. A UAE mortgage broker can run all eight lenders at once and often surfaces deals not on the public pages.
UAE Mortgage Rate Comparison — 15 June 2026
Rates as of 15 June 2026 — indicative, verify with the bank. First property under AED 5M at 80% LTV, salaried applicant. 3-month EIBOR: 3.75% (CBUAE).
Bank | Product | Type | Headline Rate (period) | Reverts To | Max LTV | Min Salary | Notes |
DIB | Home Finance | 1-yr Fixed / Islamic | 3.49% (1-yr fixed) | EIBOR 3M + 1.35% (~5.10%) | 80% expat / 85% UAE nat. | AED 15,000 | Sharia-compliant; Ijarah & Murabaha; salary transfer for best rate |
HSBC | Home Loan | 1-yr Fixed / Conventional | 3.70% (1-yr fixed) | EIBOR 3M + 1.29% (~5.04%) | 80% expat | AED 15,000 | Available to non-residents; no salary transfer required |
ADIB | Home Finance | Variable / Islamic | From 3.69% profit rate | EIBOR-linked | 80% expat / 85% UAE nat. | AED 15,000 | Profit rate not interest; Ijarah-based; up to 25-yr tenure |
Emirates NBD | Home Loan | 2-yr Fixed / Conventional | 3.89% (2-yr fixed) | EIBOR 3M + 1.99% (~5.74%) | 80% expat / 85% UAE nat. | AED 15,000 | Salary transfer required for best rate; wide branch network |
FAB | Home Loan | 3-yr Fixed / Conventional | 3.99% (3-yr fixed) | EIBOR 3M + 1.50% (~5.25%) | 80% expat | AED 15,000 | No salary transfer required; financing up to AED 20M |
RAKBANK | Home Loan | 2-yr Fixed / Conventional | 3.99% (2-yr fixed) | EIBOR 3M + 1.69% (~5.44%) | 80% expat | AED 8,000 | Lowest min salary in peer set; zero proc. fees on select deals |
Mashreq | Home Loan | 3-yr Fixed / Conventional | 4.09% (3-yr fixed) | EIBOR 3M + 1.75% (~5.50%) | 80% expat | AED 15,000 | Quick pre-approval within 48 hrs; early settlement flexibility |
ADCB | Home Loan | Fixed / Conventional | ~4.25% (fixed) | EIBOR 3M + margin | 80% expat | AED 15,000 | Balance transfer option; up to AED 10M; quick approvals |
How to read this table
Headline Rate is the fixed rate you pay during the initial fixed period. After that period ends, your mortgage reverts to a floating rate: current 3-month EIBOR plus the bank's margin. At today's EIBOR of 3.75%, a margin of +1.50% means approximately 5.25% — though EIBOR moves with global rate decisions.
Islamic products — DIB and ADIB — charge a profit rate rather than interest under Ijarah or Murabaha structures. Economically similar to a conventional mortgage, but Sharia-compliant.
LTV (loan-to-value) is the maximum proportion of the property value you can borrow. The UAE Central Bank caps expat LTV at 80% for a first property under AED 5M — a minimum 20% down payment. UAE nationals can access up to 85%. The DBR rule limits total monthly debt payments to 50% of gross income.
Who each option suits
First-time expat buyer, standard salary: DIB (3.49%) or HSBC (3.70%) offer the lowest entry rates. RAKBANK suits lower salary brackets — minimum AED 8,000, the lowest in this peer set.
Sharia-compliant financing: ADIB and DIB are the two strongest Islamic options; both offer up to 85% LTV for UAE nationals with profit rates competitive against conventional peers.
High-value purchase (AED 5M+): FAB finances up to AED 20M; ADCB up to AED 10M — compare large-ticket terms directly with a broker.
Non-residents or overseas buyers: HSBC UAE explicitly accommodates foreign currency earners and non-residents. Most other lenders in this peer set require UAE residency.
No salary transfer possible: FAB advertises no salary transfer requirement; HSBC and RAKBANK are also worth exploring if switching banks is not an option.
What changes your mortgage rate
Salary transfer: Moving your salary to the lending bank typically unlocks 0.10–0.40% off the rate. Emirates NBD is the most explicit about this for their best-advertised pricing.
LTV: Borrowing below 70% LTV (30%+ down payment) can unlock better rates at most banks — ask directly for the breakpoints.
Fixed period length: Longer fixed periods cost more. 5-year fixed rates typically run 0.50–0.80% above 1-year rates at the same bank.
Employer category: Government entities and large multinationals attract the best margins. Self-employed applicants typically pay 0.25–0.50% more with stricter documentation.
EIBOR / Fed moves: The UAE dirham is pegged to the US dollar, so CBUAE follows the Fed closely. A Fed rate cut flows through to EIBOR within weeks, lowering your floating-rate cost after the fixed period.
Frequently asked questions
What is the minimum down payment for a mortgage in Dubai?
For expats buying a first property under AED 5 million, the UAE Central Bank mandates a minimum 20% down payment (80% LTV cap). UAE nationals can borrow up to 85%. For properties over AED 5 million, the expat LTV limit drops to 70%, requiring a 30% down payment.
Can non-residents get a UAE mortgage?
Yes, but options are limited. HSBC UAE is the most prominent lender in this peer set that explicitly serves non-residents and foreign currency earners. Some Islamic banks also offer non-resident home finance at lower LTV (60–70%) with stricter verification. Contact the bank directly for current eligibility.
What is EIBOR and why does it affect my mortgage?
EIBOR (Emirates Interbank Offered Rate) is the benchmark rate at which UAE banks lend to each other. Most variable-rate and post-fixed-period mortgages are priced as 'EIBOR + bank margin'. As of 15 June 2026, the 3-month EIBOR is 3.75% (CBUAE via fcmb.ae). Because the UAE dirham is pegged to the US dollar, EIBOR closely tracks the US Federal Reserve's policy rate.
Islamic home finance vs conventional mortgage — what is the difference?
A conventional mortgage charges interest on the outstanding loan. Islamic home finance (Ijarah or Murabaha) avoids interest through a rental-to-own or deferred-sale structure. Both are legally valid in the UAE. DIB and ADIB offer competitive Islamic options with LTV parity for UAE nationals.
How do I get the lowest mortgage rate in the UAE?
The three biggest levers are: (1) salary transfer to the lending bank; (2) a larger down payment (lower LTV); (3) employer type — government entities and large multinationals attract the best margins. Also see my Dubai Gold & Exchange Rates guide for a broader picture of UAE financial market pricing.
Sources & disclaimer
Rates from mortgease.ae, mortgagecompare.ae, Emirates NBD home loans, FAB home loan, DIB home finance, and HSBC UAE mortgages (all researched June 2026). EIBOR: fcmb.ae citing CBUAE (15–17 June 2026).
Rates are indicative and change frequently — confirm directly with the bank or a licensed UAE mortgage broker before making any financial decision. Not sponsored. This page is not financial advice; Angel Tyagi / angelindubai.com is not a licensed financial adviser. For personalised guidance, speak to a UAE Central Bank-regulated mortgage adviser or financial planner. Hours, rates, and product availability may change without notice.
Page last updated: 15 June 2026 — refreshed weekly.
— Angel Tyagi, Creator of Angel In Dubai
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