Calculate the exact minimum down payment required for any property in UAE. Based on current UAE Central Bank LTV regulations for expats, UAE nationals, first and second property purchases.
| Buyer Type | Property Value | Min Down Payment | Max LTV |
|---|---|---|---|
| Expat, First Property | Under AED 5M | 20% | 80% |
| Expat, First Property | Over AED 5M | 30% | 70% |
| UAE National, First | Under AED 5M | 15% | 85% |
| UAE National, First | Over AED 5M | 30% | 70% |
| Expat, Second Property | Any value | 35% | 65% |
| UAE National, Second | Any value | 35% | 65% |
| Off-Plan (Under Construction) | Any value | 50% | 50% |
Many first-time Dubai property buyers focus only on the down payment percentage without accounting for the full cash requirement at the time of purchase. This can cause significant financial shortfalls.
For a AED 1.5M property with 20% down payment, the minimum cash required is not just AED 300,000. You also need to budget for DLD transfer fee (AED 60,000), trustee fee (AED 4,000), agent commission (AED 31,500 incl. VAT), and DLD mortgage registration (AED 3,890 if using a mortgage).
Total cash required for a AED 1.5M property: approximately AED 399,390, 27% of the purchase price, not just 20%. Always calculate the full cash requirement before committing to a property purchase.
UAE residents can use a dedicated savings account, fixed deposits, or UAE-based investment accounts to build a deposit. Some developers offer extended payment plans on off-plan properties with smaller initial payments.
Down (20%): AED 160,000
DLD (4%): AED 32,000
Trustee: AED 4,000
Agent (2%+VAT): AED 16,800
Total: ~AED 212,800
Down (20%): AED 300,000
DLD (4%): AED 60,000
Trustee: AED 4,000
Agent (2%+VAT): AED 31,500
Total: ~AED 395,500
Down (20%): AED 500,000
DLD (4%): AED 100,000
Trustee: AED 4,000
Agent (2%+VAT): AED 52,500
Total: ~AED 656,500
Down (30%, over 5M): AED 1,500,000
DLD (4%): AED 200,000
Trustee: AED 4,000
Agent (2%+VAT): AED 105,000
Total: ~AED 1,809,000
Monthly payments and total cost for UAE mortgages.
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Free · No LoginAll DLD transfer and registration fees.
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Free · No LoginOff-plan instalment schedules and payment plans.
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The minimum down payment in Dubai for a mortgage under UAE Central Bank rules is: 20% for expats buying their first property under AED 5M. 15% for UAE nationals buying their first property under AED 5M. 30% for all buyers for properties over AED 5M. 35% for second property purchases. 50% for off-plan (under construction) properties. These are minimum requirements, banks may require higher deposits based on credit assessment.
No. UAE banks do not allow personal loans to be used as a source of down payment for a mortgage. The down payment must come from your own savings or legitimate equity. Banks assess your liabilities during the mortgage application, any large loan taken close to a mortgage application may be detected and cause the mortgage to be declined.
LTV (Loan-to-Value) is the ratio of the mortgage loan to the property value. An 80% LTV means the bank lends 80% of the property value, and you contribute 20% as a down payment. UAE Central Bank LTV limits protect both borrowers and the banking system by ensuring borrowers have meaningful equity in their purchase. The LTV is calculated on either the purchase price or the bank's own valuation, whichever is lower.
Yes, but it's only part of it. Your total cash required at purchase includes the down payment PLUS: DLD transfer fee (4%), trustee fee (AED 4,000), title deed (AED 250), agent commission (2% + VAT), DLD mortgage registration (0.25% of loan + AED 290), and bank arrangement fee. For a AED 1.5M purchase with 20% down payment, the total cash required is approximately AED 395,000, not AED 300,000.