Here we will tell you everything about applying and getting a property on mortgage in Dubai.

Phase #1: Choosing the desire property

There are many reputable websites available to find the property you desire in UAE whether it be ready properties or off plan properties. There are so many options to choose from as persons with different personalities like different types of surrounding and lifestyles.

Ready properties are more suitable for those who want to move immediately or to start earning from rent right away and banks usually have lenient terms when you are buying ready properties in UAE. Here is the simple steps to follow to get mortgage in Dubai for property investment.

Phase #2: An agreement between the parties.

There are two ways to buy property in Dubai. One is from developers directly and the other option is to hire a broker or real estate agent to carry the transaction smoothly.

In first case, sale contract is between you and the developer and in second case the broker or agent completes the transaction. Keeping a broker or an agent relieves you from the hassle of doing everything on your own for a minor fee.

Phase #3: Required documentation

This phase is extremely important and must be cautiously taken care of because any mistake will result in delays or even cancellation of you request to obtain the mortgage in the first place.

If you are a salaried employees

  • Passport copy.
  • A note of any monthly liability you have to pay for example car loan or credit card loan etc.
  • UAE identification document.
  • Fee slips for mortgage processing
  • Salary slip
  • In case you are an expatriate, a valid visa
  • Bank statement showing salary amount credited for past 6 months
  • Proof of availability of money for making down payment
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If you are self employed

  • MOA or Memorandum of Associatidon, plus, incorporation documents.
  • Financial statements certified by auditor for past 2 years.
  • Passport copy.
  • A note of any monthly liability you have to pay for example car loan or credit card loan etc.
  • UAE identification document.
  • Fee slips for mortgage processing
  • Salary slip
  • In case you are an expatriate, a valid visa
  • Bank statement showing salary amount credited for past 6 months
  • Proof of availability of money for making down payment

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Phase # 4 Submission of documents and bank’s procedure

Documents are then submitted along with the bank forms. These documents can be submitted by you or your agent working on your behalf. All the documentation is then reviewed by the banks and/or financial institutions as per their own specific criteria.

Phase #5: Get the pre-approval issued from your mortgage provider

After assessing all the risks and return embedded in each case separately, the bank is ready to issue a pre-approval. Pre-approval is in fact a letter with the name of the applicant and the loan amount applied. This document also depicts the tenure of the mortgage and the interest rates involved in the transaction.

We call it pre –approval letter because there are certain condition that needs to be fulfilled after the initial processing and assessment is done.

Phase #6: Property visit

This is the phase where the property is separately identified and inspected by the bank’s personnel specially designated for the purpose. Along with physical examination, they may require title deed, contracts, floor plans etc.

Phase #7: Valuation of the property

After the bank’s personnel visit the place, they provide a report to their valuation team who then provide the valuation relating to the property in question. This is an important phase in the whole process and may require up to 3 days. Normally banks or financial institution charges AED 2,500 to AED 3,000 depending upon the property

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Phase #8: Offer letter

After phase # 7 is complete, you move towards finalization of the whole process. Provided that all the condition in the pre-approval letter is met, the bank issues a final offer to the applicant. Once read and accepted, this document is signed by all the parties in question.

Phase #9: Getting the property transferred in your name

The bank or financial institution’s representative schedules the transfer. Land department is responsible for the transfer of properties in majority of cases but in some cases transfers take place at the developer’s office as well.

Phase #10: Receipt of documents after transfer

After all the formalities are done from the Land department’s perspective a title deed is issue that have name of the owner and the name of the bank as mortgage provider or lender.

Keep in view; you only get a copy of this as the original documents are kept by the bank. Along with the documents, you also receive the key to the property and this is a sign that the transaction has been finalized and installment payments will start.

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