EXAMPLE inputs — AED 2,000,000 price, 20% down, 5.00% annual, 25 years. Not a current UAE market rate.
EXAMPLE loaded. Calculate to see principal and interest in AED.
Monthly principal + interest
—Total paid
—Total interest
—Months saved with extra payment
—CBUAE loan-to-value caps
The Central Bank of the UAE publishes LTV caps and a 25-year maximum tenor in its Regulations Regarding Mortgage Loans. Confirm the live rulebook before treating a figure as current. Banks can be stricter. This table is a reading aid, not a credit decision.
| Borrower | Property | Max LTV |
|---|---|---|
| UAE national | First completed home, AED 5m or less | 85% |
| UAE national | First completed home, above AED 5m | 75% |
| UAE national | Subsequent / investment | 65% |
| Expatriate | First completed home, AED 5m or less | 80% |
| Expatriate | First completed home, above AED 5m | 70% |
| Expatriate | Subsequent / investment | 60% |
| All | Off-plan | 50% |
Source: CBUAE rulebook, Regulations Regarding Mortgage Loans. No current bank rate is quoted here.
The formula
M = P × r(1+r)n / ((1+r)n − 1)
M is the monthly principal-and-interest payment in AED. P is the loan principal (price minus down payment). r is the monthly rate: annual rate divided by 12, then by 100. n is years × 12.
If the annual rate is 0%, M is P divided by n.
EXAMPLE: AED 2,000,000 with 20% down leaves AED 1,600,000 of principal. At 5.00% annual for 25 years (n = 300), the scheduled payment is about AED 9,353 a month of principal and interest. That 5.00% is an EXAMPLE, not a quoted UAE rate.
How to use it
- Enter the property price in AED and choose buyer and property type so the published LTV cap can be shown.
- Set the down payment. A warning appears if the implied LTV is above the published cap.
- Enter the annual rate your bank quotes. Leave the EXAMPLE 5.00% only if you are checking the math.
- Keep the term at 25 years or less unless you are only exploring the formula. CBUAE’s published maximum tenor is 25 years.
Educational estimate of principal and interest only. Not financial advice, not a bank offer, and not an Islamic finance product. Defaults are labeled EXAMPLE and are not a quoted market rate. Confirm CBUAE caps on the live rulebook. Does not include DLD or other registration fees, valuation, insurance, or a debt-burden-ratio test.
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FAQ
What is the maximum mortgage term in the UAE?
The Central Bank of the UAE mortgage-loan regulations set a maximum tenor of 25 years. This calculator defaults to 25 years and warns if you enter a longer term. Confirm the live CBUAE rulebook before treating the cap as current.
What down payment does CBUAE require?
CBUAE publishes loan-to-value caps rather than a single down-payment number. For a first completed home at AED 5 million or less, the published maximum LTV is 85% for UAE nationals and 80% for expatriates (15% or 20% down). Caps are lower above AED 5 million, on subsequent or investment property, and 50% LTV on off-plan purchases. Banks may lend less. Confirm the live rulebook.
Does this UAE mortgage calculator use current bank rates?
No. The default annual rate is an EXAMPLE only. UAE lenders often quote a reducing rate linked to EIBOR plus a margin, and the quoted APR can include fees. Enter the rate your bank actually quotes. This page does not fetch live rates.
Is this the same as a reducing-balance EMI?
Yes. It uses standard monthly amortization: M = P × r(1+r)^n / ((1+r)^n − 1). That is reducing-balance principal and interest with a monthly rest. It is not a flat-rate quote, not an Islamic / Ijara product, and not a bank offer.
What is not included in this monthly payment?
Principal and interest only. It does not include Dubai Land Department or other registration fees, valuation, life or property insurance, early-settlement fees, or a debt-burden-ratio check. CBUAE consumer lending rules also cap aggregate monthly debt service; this page does not test that.