LeoCompare
    LeoCompare
    Dubai Properties

    UAE Mortgage Interest Rates 2025

    Current rates range from 3.49% to 4.75% based on your profile

    Rates from 3.49% (profile-dependent)
    Fixed and variable options
    18+ banks compared
    Free rate comparison
    Get Your Rate QuoteLearn More

    Compare Rates From UAE's Leading Banks

    Access competitive offers through our partner network

    Get Your Personalized Rate Quote Today

    Stop guessing about your rate. Compare personalized quotes from 18+ UAE banks in minutes. Our CBUAE-registered mortgage experts will help you find the best terms.

    Compare Your Rates Check Eligibility

    Key Points in 15 Seconds

    • Current UAE mortgage rates: 3.49% to 4.75% depending on your profile and property type
    • Rates are personalized based on nationality, income, credit score, and down payment amount
    • Choose between fixed rates (stability) or variable rates (EIBOR-linked)
    • Compare quotes from 18+ banks to find your best personalized rate

    Understanding UAE Mortgage Interest Rates

    Mortgage interest rates in the UAE are determined by multiple factors and vary significantly between borrowers. Unlike published "standard rates," the rate you receive is personalized based on your unique financial profile, the property you're purchasing, and current market conditions.

    The UAE Central Bank sets regulatory guidelines that affect mortgage lending, including maximum loan-to-value (LTV) ratios and debt-to-income limits. These regulations, combined with each bank's risk assessment, determine the final rate offered to you.

    Important: Online rate comparisons showing specific bank rates are often outdated. The only way to know your actual rate is to apply and receive personalized quotes based on your situation.

    How Banks Determine Your Rate

    Your Profile

    • Nationality (UAE nationals get preferential rates)
    • Employment type and income stability
    • Credit score and payment history
    • Existing debt obligations

    Property Factors

    • Property type (villa, apartment, townhouse)
    • Ready vs off-plan property
    • Location and developer reputation
    • Property valuation

    Loan Terms

    • Down payment amount (higher = better rates)
    • Loan tenure (shorter may mean better rates)
    • Fixed vs variable rate preference
    • Total loan amount

    Market Conditions

    • EIBOR (Emirates Interbank Offered Rate)
    • UAE Central Bank policy
    • Bank liquidity and competition
    • Economic outlook

    Fixed vs Variable Interest Rates

    Fixed Rate Mortgages

    Your rate stays the same for a set period (typically 1-5 years)

    • Predictable monthly payments
    • Protection from rate increases
    • Easier budgeting

    Variable Rate Mortgages

    Your rate changes based on EIBOR plus bank margin

    • May start lower than fixed
    • Benefit from rate decreases
    • More flexibility
    Learn more about Fixed vs Variable rates

    Ready to Compare Your Options?

    Get instant quotes from multiple banks and understand exactly what rate you qualify for based on your unique profile.

    Get Quotes Now

    How LeoCompare Helps You Get Better Rates

    As a CBUAE-registered mortgage broker, we provide access to personalized quotes from 18+ UAE banks. Instead of approaching each bank individually, submit one application and receive multiple competitive offers tailored to your profile.

    Compare Rates

    Get quotes from 18+ banks in one application

    Expert Guidance

    Free mortgage advisor support throughout

    Best Terms

    Negotiate on your behalf for better rates

    Compare Rates Now

    Related Home Loan Resources

    Mortgage Eligibility

    Check if you qualify for a UAE mortgage

    Get Rate Quotes

    Compare personalized rates from 18+ banks

    Fixed vs Variable

    Which rate type is right for you?

    Mortgage Calculator

    Calculate your monthly payments

    Frequently Asked Questions

    What are the current mortgage interest rates in UAE?
    Current UAE mortgage interest rates typically range from 3.49% to 4.75%, depending on your profile, nationality, income, credit score, property type, and down payment amount. Banks offer both fixed and variable rate options. Fixed rates provide stability for 1-5 years, while variable rates are linked to EIBOR (Emirates Interbank Offered Rate) plus a margin.
    How is my mortgage interest rate determined in UAE?
    UAE banks determine your mortgage interest rate based on several factors: your nationality (UAE nationals typically get better rates), employment type and income stability, credit score and history, down payment percentage, property type and location, loan amount and tenure, and overall debt-to-income ratio. The Central Bank of UAE regulates maximum LTV ratios which also affect rates.
    What is EIBOR and how does it affect my mortgage?
    EIBOR (Emirates Interbank Offered Rate) is the benchmark interest rate at which UAE banks lend to each other. Variable rate mortgages are typically priced as EIBOR plus a margin (e.g., EIBOR + 2%). When EIBOR rises, your variable rate mortgage payment increases. Fixed rate mortgages are not directly affected by EIBOR changes during the fixed period.
    Should I choose a fixed or variable interest rate?
    The choice depends on your risk tolerance and financial planning. Fixed rates offer payment stability and protection against rate increases, ideal for budgeting. Variable rates may start lower but can change with market conditions. Many UAE borrowers choose a fixed rate for initial years (1-5 years) then switch to variable. Consider your financial goals and how long you plan to hold the property.
    Can I negotiate my mortgage interest rate with UAE banks?
    Yes, mortgage rates in UAE are negotiable to an extent. Factors that strengthen your negotiating position include: larger down payment, excellent credit score, high income, existing relationship with the bank, and comparing offers from multiple banks. Using a mortgage broker like LeoCompare helps you access competitive rates from 18+ banks simultaneously.
    This page provides general information about home loans for educational purposes only. Mortgage terms, eligibility and fees depend on individual circumstances and lender policies.

    This content is not financial advice. Please consult a licensed financial advisor before making borrowing decisions.

    LeoCompare may receive referral commissions from partnered financial institutions. This does not influence the information presented.

    Reviewed by the LeoCompare Editorial Team – specialists in UAE home financing content.

    How LeoCompare Helps

    Ready to compare your options? Get instant quotes from UAE's leading banks with personalized rates based on your profile.

    Get Your Quote

    Related Topics

    Fixed vs Variable Rates

    Compare rate options and choose what fits you

    Best Home Loans

    Find the best mortgage for your profile

    Get Pre-Approved

    Know your budget before house hunting

    Apply for Home Loan

    Products

    • Money Transfer
    • Home Loans
    • SME Loans
    • Business Payments

    Money Transfer & Exchange Rates

    • Dubai to India
    • Dubai to Pakistan
    • Abu Dhabi to India
    • Sharjah to Philippines
    • Dubai to Nepal
    • View All Cities
    • AED to INR
    • AED to PKR
    • USD to AED
    • AED to PHP
    • All Exchange Rates

    Home Loans

    • Home Loans UAE
    • Mortgage Calculator
    • Mortgage Rates
    • Dubai Mortgage
    • UAE Nationals
    • Expat Residents

    SME Loans

    • SME Loans Hub
    • Working Capital
    • Business Expansion
    • Equipment Financing
    • Trade Finance
    • Commercial Property
    • View All SME Loans

    Company

    • About Us
    • Blogs
    • Contact Us
    • Privacy Policy
    • Terms & Conditions

    Stay Updated

    Get rate alerts delivered to your inbox.

    LeoCompare is a financial technology company that partners with licensed providers. We don’t offer or process financial services directly.
    © 2025 LeoCompare. All Rights Reserved.
    Terms of ServicePrivacy Policy
    Follow us: