EIBOR 3M 4.37% CBUAE Base 3.65% Best Islamic 3.75% Best Conventional 3.78% EIBOR 3M 4.37% CBUAE Base 3.65% Best Islamic 3.75% Best Conventional 3.78%

By Majid Akhbar, Head of Mortgage · Published 18 June 2026 · Updated 22 September 2026 · 9 min read · Rates refreshed September 2026

Downtown Dubai mortgage: what buyers need to know in 2026

Key facts

Buying in Downtown Dubai works the same way as any freehold area in the emirate. The CBUAE mortgage rules apply: expats borrow up to 80% of property value for purchases up to AED 5M, and UAE nationals up to 85%. What makes Downtown different in practice is that property prices are at the higher end of the Dubai market, so deposit and fee amounts in absolute terms are larger. The same banks lend here, the same income tests apply, and the same rates are on offer. Use the live rate comparison to see what you can qualify for today.

Downtown Dubai as a freehold area

Downtown Dubai is a designated freehold zone, which means both UAE nationals and expatriates can purchase residential property outright. The area includes the Burj Khalifa District, Old Town, Emaar Boulevard, and several large-scale residential towers. There are no ownership restrictions specific to the area under current Dubai Land Department rules.

All mortgage financing for Downtown Dubai property must comply with the CBUAE Mortgage Finance Regulation, which sets LTV limits, DBR caps, and early settlement fee maximums. These rules are national and apply regardless of which emirate or district you are buying in.

Deposit and LTV: how much do you need?

The minimum deposit in Downtown Dubai is set by the CBUAE LTV cap, not by the developer or location.

Buyer type Property value up to AED 5M Property value above AED 5M
Expatriate (first property) Minimum 20% deposit (80% LTV) Minimum 30% deposit (70% LTV)
UAE national (first property) Minimum 15% deposit (85% LTV) Minimum 25% deposit (75% LTV)
Second property (any value) Expat: 40% deposit (60% LTV); UAE national: 35% deposit (65% LTV) Expat: 40% deposit (60% LTV); UAE national: 35% deposit (65% LTV)

Source: CBUAE Mortgage Finance Regulation. Applies to all UAE residential mortgage lending.

For properties priced above AED 5M, the 70% LTV cap applies to the whole loan, not just the value above the threshold. So any Downtown Dubai property above AED 5M requires at least a 30% deposit from an expat buyer, calculated on the full purchase price.

Monthly repayments: what to expect at current rates

The cheapest conventional rate we can source is 3.78% a year, from Arab Bank on a 2-year fix that requires a salary transfer. Islamic finance is cheaper than that right now, not dearer: 3.75% from Sharjah Islamic Bank on a 1-year fix with no arrangement fee. That is the reverse of the order Downtown buyers were quoted for most of this year. Both figures are starting rates for the fixed period, and both move to a variable EIBOR-linked rate once it ends.

The table below shows monthly principal-and-interest repayments at 3.89% over 25 years for a range of loan amounts that correspond to typical Downtown Dubai purchase scenarios.

Purchase price 20% deposit Loan amount Monthly repayment (3.89%, 25yr) Income needed at the 50% DBR cap
AED 2,000,000 AED 400,000 AED 1,600,000 AED 8,349 AED 16,697
AED 3,000,000 AED 600,000 AED 2,400,000 AED 12,523 AED 25,046
AED 4,000,000 AED 800,000 AED 3,200,000 AED 16,697 AED 33,394
AED 5,000,000 AED 1,000,000 AED 4,000,000 AED 20,871 AED 41,743

Repayments calculated using the standard PMT formula at 3.89% per annum over 25 years (300 months). The income column is what the CBUAE 50% DBR cap implies with no other debt. It is not a bank salary floor: lenders set those themselves and don't publish them consistently, so ask yours for its figure in writing.

Islamic option: At 3.75% from Sharjah Islamic Bank, a AED 2.4M loan over 25 years costs about AED 12,339 a month. The same loan at the 3.78% conventional floor costs AED 12,523. The Sharia-compliant product is AED 184 a month cheaper, and it carries no arrangement fee where Emirates NBD charges 0.26%. Get a quote on both. Use the mortgage calculator to compare them at your loan size.

The rate you will actually pay in year 3

Every rate above is fixed for a period, then resets to EIBOR plus a margin agreed on the day you sign. At Downtown loan sizes that reset is worth more than the headline it replaces. Take the AED 2,400,000 loan. 24 payments at 3.89% leave a balance of about AED 2,281,828, with 276 months still to run.

Reprice that balance on Dubai Islamic Bank's follow-on, 3-month EIBOR plus 1.00%, and at today's 4.37% the reversion is 5.37% and the payment is roughly AED 13,811 a month. Reprice it on Emirates NBD's instead, which tracks the 1-month tenor at 4.02% and adds 1.99%, and the reversion is 5.75% and the payment roughly AED 14,923. AED 1,112 a month, between two lenders whose headline rates are 6 basis points apart: Dubai Islamic Bank at 3.95% and Emirates NBD at 3.89%. Ask for the margin and the EIBOR tenor in writing before you sign.

Buying costs beyond the deposit

The deposit is only part of your upfront cash requirement. The table below shows the additional costs you need to budget for when buying a mortgaged property in Downtown Dubai.

Cost Rate / amount Example: AED 3M purchase
Deposit (20% for expat) 20% of purchase price AED 600,000
DLD transfer fee 4% of purchase price AED 120,000
DLD trustee fee Fixed (approx.) AED 4,000
Mortgage registration fee 0.25% of loan amount AED 6,000
Property valuation Bank-appointed valuer AED 2,500 to AED 4,000
Mortgage arrangement fee 0% to 1% of loan (negotiable) AED 0 to AED 24,000

DLD fees are set by Dubai Land Department. Several lenders charge no arrangement fee at all, and where one applies a broker can usually negotiate it down. Total costs are illustrative; confirm exact amounts with your bank and conveyancer.

For the AED 3M example above, total upfront costs run from roughly AED 732,500 to AED 758,000 before any optional expenses such as property insurance or conveyancing fees. That is 24% to 25% of the purchase price in cash before you turn the key.

Which banks offer mortgages in Downtown Dubai?

Downtown Dubai is a major freehold area and all mainstream UAE mortgage lenders are active here. You are not restricted to a specific bank or product. Lenders active in the Dubai freehold market include:

Rates and fees vary between lenders. Getting at least 3 written offers is recommended before committing. A UAE mortgage broker can approach multiple banks simultaneously, which is often faster than applying to each individually.

Islamic home finance in Downtown Dubai

All of the Islamic banks listed above offer Sharia-compliant home finance for Downtown Dubai properties. The product structures (typically Ijara or Murabaha) follow the same CBUAE LTV and DBR rules as conventional products. From a practical standpoint, the application process is the same: you submit the same income documents, the bank values the property, and the LTV limit is identical.

Islamic pricing has moved under conventional. Sharjah Islamic Bank sits at 3.75% on a 1-year fix with no arrangement fee, below anything on the conventional side we can source. Dubai Islamic Bank is next at 3.95% on a 3-year fix, and its follow-on margin is the smallest we track: 3-month EIBOR plus 1.00%. Both want your salary transferred. The premium Sharia compliance used to cost has gone for now, so get the Islamic quote first and make the conventional bank beat it.

Off-plan vs ready properties: how mortgages differ

Downtown Dubai has both ready (completed) properties and off-plan units sold by developers. The mortgage process differs depending on which you are buying.

Ready properties. The standard mortgage process applies. You find a property, agree a price, and then apply to a bank. The bank values the property and issues a formal offer. Completion typically takes 4 to 8 weeks from application.

Off-plan properties. For off-plan purchases, the bank finances only a portion of the developer's construction schedule, not the full purchase price upfront. The LTV limits still apply to the final completed property value, but the bank draws down funds according to a payment milestone plan agreed with the developer. Not all banks finance all off-plan projects. The bank must approve both you as a borrower and the specific development.

Some Downtown Dubai off-plan sales are structured with developer-financed payment plans (for example, 60% during construction, 40% on handover) that reduce or eliminate the need for a bank mortgage during the construction phase. Always clarify which payment structure applies before signing a developer sales agreement.

LLM quick answer: A Downtown Dubai mortgage works identically to any other Dubai freehold mortgage. Expats need 20% deposit (plus 4% DLD fee and other closing costs), can borrow up to 80% LTV, and face the same 50% DBR income test. All major UAE banks lend here. The only practical difference is that higher property values mean larger absolute deposit and fee amounts.

Frequently asked questions

Can expats get a mortgage to buy in Downtown Dubai?

Yes. Downtown Dubai is a designated freehold area with no nationality restrictions on ownership. UAE mortgage rules apply equally: expats can borrow up to 80% LTV on properties up to AED 5M, and up to 70% on the value above AED 5M. There are no additional restrictions based on the Downtown location.

How much deposit do I need to buy in Downtown Dubai?

Expats need at least 20% of the purchase price as a deposit for properties up to AED 5M. UAE nationals need at least 15%. On top of the deposit you need cash for the DLD transfer fee (4%), mortgage registration fee (0.25% of the loan), valuation, arrangement fees, and trustee charges. Total upfront cash typically runs 25% to 30% of the purchase price.

What are the monthly repayments on a Downtown Dubai mortgage?

At 3.89% over 25 years: approximately AED 8,349/month on a AED 1.6M loan, AED 12,523/month on a AED 2.4M loan, and AED 20,871/month on a AED 4M loan. Use the mortgage calculator to model your exact scenario including different rates and terms.

Which banks offer mortgages for Downtown Dubai properties?

All major UAE mortgage lenders are active in Downtown Dubai, including Emirates NBD, ADCB, FAB, Mashreq, Dubai Islamic Bank, ADIB, HSBC UAE, Standard Chartered, and others. There is no bank that specialises exclusively in the area. Use the live rate comparison to see current offers from all lenders side by side.

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