Your figures
Example value: enter the rate offered by your lender.
| Year | Interest | Capital | Balance |
|---|---|---|---|
| 1 | 63,308 | 38,037 | 1,561,963 |
| 2 | 61,758 | 39,587 | 1,522,376 |
| 3 | 60,145 | 41,199 | 1,481,177 |
| 4 | 58,467 | 42,878 | 1,438,299 |
| 5 | 56,720 | 44,625 | 1,393,674 |
| 6 | 54,902 | 46,443 | 1,347,231 |
| 7 | 53,009 | 48,335 | 1,298,896 |
| 8 | 51,040 | 50,304 | 1,248,591 |
| 9 | 48,991 | 52,354 | 1,196,237 |
| 10 | 46,858 | 54,487 | 1,141,750 |
| 11 | 44,638 | 56,707 | 1,085,044 |
| 12 | 42,328 | 59,017 | 1,026,026 |
| 13 | 39,923 | 61,422 | 964,605 |
| 14 | 37,421 | 63,924 | 900,681 |
| 15 | 34,816 | 66,528 | 834,153 |
| 16 | 32,106 | 69,239 | 764,914 |
| 17 | 29,285 | 72,060 | 692,854 |
| 18 | 26,349 | 74,996 | 617,859 |
| 19 | 23,294 | 78,051 | 539,808 |
| 20 | 20,114 | 81,231 | 458,577 |
| 21 | 16,804 | 84,540 | 374,036 |
| 22 | 13,360 | 87,985 | 286,052 |
| 23 | 9,775 | 91,569 | 194,483 |
| 24 | 6,045 | 95,300 | 99,183 |
| 25 | 2,162 | 99,183 | 0 |
Monthly payment
AED 8,445
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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Example: AED 1.6 million over 25 years
At an example rate of 4%, the monthly payment is AED 8,445 and total interest AED 933,617. Paying AED 1,000 more each month clears the loan in 21 years instead of 25 and saves AED 173,244 of interest.
| End of year | Interest paid that year | Capital repaid that year | Remaining balance |
|---|---|---|---|
| 1 | AED 63,308 | AED 38,037 | AED 1,561,963 |
| 5 | AED 56,720 | AED 44,625 | AED 1,393,674 |
| 10 | AED 46,858 | AED 54,487 | AED 1,141,750 |
| 15 | AED 34,816 | AED 66,528 | AED 834,153 |
| 20 | AED 20,114 | AED 81,231 | AED 458,577 |
| 25 | AED 2,162 | AED 99,183 | AED 0 |
Example rate 4%, not a market rate.
The formula
Monthly payment = P × r ÷ (1 − (1 + r)^−n), with P the loan, r the annual rate ÷ 12 and n the number of months. Each payment first covers the interest on the remaining balance; the rest repays capital, so the share of capital grows every month.
Early repayment
The Central Bank regulation caps what a lender may charge for early repayment or refinancing at its actual cost (to break a fixed rate) and the fees set by its Regulation 29/2011. Your loan agreement lists them in a separate schedule.
Frequently asked questions
Why do I pay more interest at the start?
Interest is charged on the remaining balance, which is highest at the start. As capital is repaid, the interest share falls and the capital share rises.
Do extra payments shorten the loan?
Yes, if the lender applies them to the capital. Check the early repayment terms in your loan schedule of fees.
How often are payments made?
The Central Bank requires repayments at least quarterly; most home loans are repaid monthly.
Go further
Planning a purchase? Our partner brokerage Cevitas publishes DLD prices for every Dubai area.