luxurious villa in Dubai with a clear view of the ocean and the Burj Al

Can I obtain a mortgage to buy a villa in Dubai as a foreigner?

Yes, foreigners can obtain a mortgage to buy a villa in Dubai, but there are specific requirements and limitations. Here's a breakdown:
There are two tiers of mortgages for foreigners. 

As a Resident of UAE:


  • Valid residency visa: You must hold a valid residency visa, typically with a minimum validity period of 3 months.
  • Stable income: Demonstrate a consistent and sufficient income to support the mortgage repayments.
  • Down payment: Foreigners usually require a higher down payment, ranging from 20% to 40% of the property value.
  • Age limit: Some banks have age restrictions, typically requiring borrowers to be under 65 or 70 at loan maturity.
  • Nationality restrictions: Some banks may have restrictions on specific nationalities.


  • Lower down payment: Residents require 20-30% down payment, compared to 40% for non-residents.
  • Access to wider loan options: Residents can access better loan terms and competitive interest rates.
  • Potential residency visa: Owning property worth AED 1 million or more can facilitate residency visa options.
  • Greater flexibility: Residents can freely use, rent, or sell their property.


  • Residency requirements: You need to maintain an active residency visa, incurring visa costs and potentially meeting specific income criteria.
  • Tax implications: Depending on income sources, residents may be subject to personal income tax.

As a Non-Resident Investor:


  • No residency obligations: Avoid visa requirements and associated costs.
  • Tax benefits: No personal income tax on rental income for non-residents.
  • Simplified process: Fewer legal and bureaucratic hurdles compared to resident ownership.


  • Higher down payment: 40% down payment requirement can be a significant barrier.
  • Limited financing options: Fewer banks offer mortgages to non-residents, often with less favorable terms.

Additional considerations:

  • Investment goals: Define your primary objective – capital appreciation, rental income, or a combination.
  • Financial capacity: Ensure you have sufficient capital for the down payment and associated costs.
  • Investment timeframe: Plan for a long-term hold due to potential selling limitations for non-residents.
  • Legal and tax advice: Consult qualified professionals to understand legal implications and potential tax liabilities.


  • Dubai Land Department:
  • Central Bank of the UAE: 
  • List of UAE Banks: 

Ultimately, the decision depends on your individual circumstances, risk tolerance, and investment goals. Carefully weigh the pros and cons of each option, and seek professional guidance to make an informed decision that aligns with your long-term plans.

Additional factors:

  • Interest rates: Interest rates for foreigners are generally higher than for UAE nationals.
  • Loan-to-value (LTV) ratio: The maximum LTV ratio for foreigners is typically lower than for UAE nationals.
  • Type of property: Some banks may have restrictions on financing certain types of properties, like off-plan villas.


  • Compare mortgage offers from different banks: Rates and terms can vary significantly.
  • Consult with a qualified financial advisor: They can help you assess your eligibility and identify the best loan options.
  • Consider using a mortgage broker: They can assist with the application process and negotiate on your behalf.

Remember, this information is for general purposes only and should not be considered financial advice. Always consult with qualified professionals before making any financial decisions.

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