Your figures
Example value: enter the rate offered by your lender.
| Year | Interest | Capital | Balance |
|---|---|---|---|
| 1 | 19,784 | 11,887 | 488,113 |
| 2 | 19,299 | 12,371 | 475,743 |
| 3 | 18,795 | 12,875 | 462,868 |
| 4 | 18,271 | 13,399 | 449,468 |
| 5 | 17,725 | 13,945 | 435,523 |
| 6 | 17,157 | 14,513 | 421,010 |
| 7 | 16,565 | 15,105 | 405,905 |
| 8 | 15,950 | 15,720 | 390,185 |
| 9 | 15,310 | 16,361 | 373,824 |
| 10 | 14,643 | 17,027 | 356,797 |
| 11 | 13,949 | 17,721 | 339,076 |
| 12 | 13,227 | 18,443 | 320,633 |
| 13 | 12,476 | 19,194 | 301,439 |
| 14 | 11,694 | 19,976 | 281,463 |
| 15 | 10,880 | 20,790 | 260,673 |
| 16 | 10,033 | 21,637 | 239,036 |
| 17 | 9,152 | 22,519 | 216,517 |
| 18 | 8,234 | 23,436 | 193,081 |
| 19 | 7,279 | 24,391 | 168,690 |
| 20 | 6,286 | 25,385 | 143,305 |
| 21 | 5,251 | 26,419 | 116,886 |
| 22 | 4,175 | 27,495 | 89,391 |
| 23 | 3,055 | 28,615 | 60,776 |
| 24 | 1,889 | 29,781 | 30,995 |
| 25 | 676 | 30,995 | 0 |
Monthly payment
AED 2,639
Indicative simulation, not a loan offer, an approval or financial advice. Limits shown are the regulatory maximums; each lender applies its own credit policy. Interest rates are the ones you enter. Market figures are medians of Dubai Land Department registered data and describe the past, not future prices or returns.
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Monthly payment on AED 500,000 by rate and term
| Example rate | 10 years | 15 years | 20 years | 25 years |
|---|---|---|---|---|
| 3% | AED 4,828 | AED 3,453 | AED 2,773 | AED 2,371 |
| 4% | AED 5,062 | AED 3,698 | AED 3,030 | AED 2,639 |
| 5% | AED 5,303 | AED 3,954 | AED 3,300 | AED 2,923 |
| 6% | AED 5,551 | AED 4,219 | AED 3,582 | AED 3,222 |
Example rates only, not market rates. Enter your lender’s rate in the calculator above.
Total interest on AED 500,000 at 4% (example)
A longer term lowers the monthly payment but raises the total interest. Repayment is on a reducing balance, as the Central Bank requires (Art. 3.5).
| Term | Monthly payment | Total interest | Total repaid |
|---|---|---|---|
| 10 years | AED 5,062 | AED 107,471 | AED 607,471 |
| 15 years | AED 3,698 | AED 165,719 | AED 665,719 |
| 20 years | AED 3,030 | AED 227,176 | AED 727,176 |
| 25 years | AED 2,639 | AED 291,755 | AED 791,755 |
Income needed to borrow AED 500,000
- 50% debt burden ratio: at least AED 5,278 gross a month, if this is your only debt (example at 4% over 25 years, before the lender’s stress test).
- Income cap for expatriates (7 years of income): at least AED 5,952 a month.
- Income cap for UAE nationals (8 years of income): at least AED 5,208 a month.
What property price a AED 500,000 loan finances
| Profile | Max. LTV | Property price | Down payment |
|---|---|---|---|
| Expat, first home | 80% | AED 625,000 | AED 125,000 |
| Expat, investment | 60% | AED 833,333 | AED 333,333 |
| UAE national, first home | 85% | AED 588,235 | AED 88,235 |
| Off plan, any buyer | 50% | AED 1,000,000 | AED 500,000 |
Minimum down payment under the Central Bank LTV limits (Art. 3.2), before purchase costs.
The Central Bank rules in brief
They apply to every bank, finance company and Islamic lender in the UAE. They are maximums: a lender may be stricter.
- Expatriates: up to 80% of a first home below AED 5 million, 70% above, 60% for a second home or an investment (Art. 3.2).
- UAE nationals: up to 85% of a first home up to AED 5 million, 75% above, 65% for a second home or an investment (Art. 3.2).
- Off plan: up to 50% for every buyer, whatever the value or purpose (Art. 3.2 C).
- Debt burden ratio: 50% of gross salary and regular income, stress-tested 2 to 4 points above the loan rate (Art. 3.1).
- Maximum term 25 years; maximum loan 7 years of annual income for expatriates, 8 for nationals (Art. 3.3 and 3.4).
- The down payment must come from your own resources, not from a personal loan or a credit card (Art. 2.4).
Other loan amounts
Frequently asked questions
What is the monthly payment on a AED 500,000 mortgage?
About AED 2,639 at 4% over 25 years, AED 3,698 over 15 years. The real figure depends on your lender’s rate: enter it in the calculator.
What salary do I need for a AED 500,000 mortgage?
At least AED 5,952 gross a month for an expatriate with no other debt, at 4% over 25 years. Lenders also stress-test the rate 2 to 4 points higher (Art. 3.1).
How much does it cost to register the mortgage in Dubai?
The Dubai Land Department charges 0.25% of the loan, about AED 1,250 on AED 500,000, plus its administrative fees.
Go further
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