EIBOR 3M 3.91% CBUAE Base 3.65% Best Islamic 3.75% Best Conventional 3.89% EIBOR 3M 3.91% CBUAE Base 3.65% Best Islamic 3.75% Best Conventional 3.89%

By Danyal Szoke, Head of Sales · Published 26 June 2026 · Updated 19 August 2026 · 8 min read

UAE mortgage comparison calculator: side-by-side bank costs in 2026

Key facts

A UAE mortgage comparison calculator puts two or more bank offers side by side on the same loan amount and term, showing the monthly payment, total interest and true cost for each. Across the rates we could source on 14 August 2026, the cheapest and the dearest fixed-rate UAE mortgage are about AED 249,400 apart in total interest on a AED 1.5M loan over 25 years. Getting this comparison right before you apply can save you more than most renovation budgets.

TL;DR: the verdict

3.89%
Cheapest conventional
Emirates NBD, read 14 Aug 2026
3.75%
Cheapest Islamic
Sharjah Islamic, read 14 Aug 2026
3.91%
3-Month EIBOR
Reference table, 3 Aug 2026
AED 249,400
Interest saved
Best vs worst rate, AED 1.5M, 25 yrs

What a UAE mortgage comparison calculator actually compares

Most people compare the headline fixed rate. That is a start, but it misses at least half of what matters. A UAE mortgage has two phases:

  1. The fixed period (typically 1 to 5 years). Your rate is locked. Monthly payment is predictable. This is the rate everyone quotes first.
  2. The revert period (the remaining 20 to 24 years). Your rate switches to EIBOR plus the bank’s margin. Monthly payments move with EIBOR. This period covers the vast majority of the loan life.

A bank offering a 3.99% fix on a 1.75% EIBOR margin will cost you more over 25 years than one offering a 4.29% fix on a 1.10% margin, if EIBOR holds near today's level. Those are real margins from our tracker, Mashreq and Standard Chartered respectively. The comparison calculator has to model both phases.

The other variable is the arrangement fee, typically 0% to 1% of the loan. Several lenders on our tracker currently charge nothing, and a mortgage broker can often negotiate it down, so treat the number you are first quoted as an opening position. On AED 1.5M the band is worth up to AED 15,000 upfront. See the rates comparison for the fee against each product.

Monthly payments compared: same loan, different rates

The table below shows monthly payments on a AED 1.5M mortgage over 25 years across the rates we could source from UAE banks on 14 August 2026. Source: PMT formula applied to those rates.

Annual rate Monthly payment (AED 1.5M, 25 yrs) Total interest (25 yrs) Vs best rate (AED)
3.75% (cheapest Islamic, Sharjah Islamic)~AED 7,710~AED 813,600Base
3.89% (cheapest conventional, Emirates NBD)~AED 7,830~AED 848,000+AED 34,400
3.99% (FAB, ADIB, Mashreq Premium)~AED 7,910~AED 872,800+AED 59,200
4.13% (ADCB)~AED 8,030~AED 907,700+AED 94,100
4.29% (Standard Chartered)~AED 8,160~AED 947,900+AED 134,300
4.74% (Mashreq standard segment, top)~AED 8,540~AED 1,062,900+AED 249,400

Source: PMT formula. Figures rounded to the nearest AED 10 (monthly) and AED 100 (total). Assumes 25-year term at the same fixed rate throughout for illustrative comparison. Real products combine a fixed period and a revert rate.

The gap between the cheapest rate on the tracker (3.75%) and a mid-market offer (4.29%) is about AED 134,300 in total interest over the full term. Stretch it to the top of Mashreq's standard segment at 4.74% and the same loan costs roughly AED 249,400 more than the cheapest.

How much does 0.25% matter?

On a AED 1.5M, 25-year loan, each 0.25 percentage point increase in rate adds approximately:

That works out at roughly AED 63,000 per 0.25 point, or about AED 252,000 per full percentage point. Rate comparison is not a minor exercise.

Fixed vs variable: which is cheaper now?

3-month EIBOR is 3.91% and 1-month is 3.76%, from the reference table dated 3 August 2026. Margins on our tracker run from 1.00% at Dubai Islamic Bank to 1.99% at Emirates NBD, which puts the all-in variable rate between 4.91% and 5.75% depending on the margin and which tenor it sits on. Against fixed rates of 3.75% to 4.74%, fixed products are cheaper today. Variable only wins if EIBOR falls a long way during the loan term.

The EIBOR outlook matters for the comparison. See our EIBOR forecast 2026 and our fixed vs variable guide for the analysis.

Islamic vs conventional: the real comparison

The order has flipped. On the records read on 14 August 2026 the cheapest Islamic profit rate is 3.75% from Sharjah Islamic Bank, and the cheapest conventional rate we can both source and type is 3.89% from Emirates NBD: Islamic is ahead by 0.14 points, where earlier in 2026 it trailed. Do not read that as a market-wide rule. Standard Chartered prices its Saadiq One at 4.44% against 4.29% on the conventional equivalent, so at the same bank the Islamic product is the dearer one. The choice still comes down to structure and fees more often than to the headline.

The structural differences to factor in when comparing:

For a full breakdown, see our Islamic vs conventional mortgage comparison.

What a good UAE mortgage comparison should include

When using any comparison tool, make sure it shows you:

  1. Fixed period rate and term (1-year, 3-year or 5-year fix).
  2. Revert rate: the EIBOR margin after the fixed period ends.
  3. Processing fee: 0% to 1% of the loan, paid upfront, and open to negotiation.
  4. Monthly payment during fixed period.
  5. Monthly payment during variable period (at current EIBOR).
  6. Total interest over 25 years (projecting both periods).
  7. Early settlement fee: CBUAE caps it at 1% of the outstanding balance or AED 10,000, whichever is lower, for the whole term.

Our rate comparison page shows all of these for major UAE banks in one table.

“Why do I keep getting different monthly payment quotes from different banks?”

The formula is the same. The inputs differ. Each bank is quoting you their rate, which differs, and some are quoting a net rate while others are quoting the gross rate inclusive of fees. The processing fee is sometimes rolled into a higher apparent rate (making the monthly look bigger), sometimes quoted separately. The term might differ by a year or two depending on your age.

The cleanest way to compare is to fix the term at 25 years, fix the loan amount, and ask each bank for their rate exclusive of fees. Then use the PMT formula at each rate to get the monthly payment. Add the processing fee separately as a one-off upfront cost. That gives you like-for-like monthly figures, and you can then decide whether the upfront fee saving outweighs a slightly higher rate. Our comparison table does this standardisation for you.

Bottom line

A UAE mortgage comparison calculator should show you the full 25-year cost of each offer, not just the headline fixed rate. Across the rates we could source on 14 August 2026 the spread is about AED 249,400 in interest on a AED 1.5M loan. The cheapest Islamic profit rate, 3.75% from Sharjah Islamic Bank, now undercuts the cheapest conventional rate, 3.89% from Emirates NBD on salary transfer, so include both. Start with the live rate comparison, then run your numbers on the calculator.

Frequently asked questions

How do I compare mortgage rates across UAE banks?

To compare UAE bank mortgages properly, you need three numbers for each lender: the initial fixed rate (typically for 1 to 5 years), the revert rate after the fix expires (usually EIBOR plus a margin), and the processing fee. The monthly payment during the fixed period is calculated with the PMT formula. The true cost comparison requires projecting both periods over the full 25-year term.

What is the difference in total interest between the cheapest and most expensive UAE mortgage?

On a AED 1.5M mortgage over 25 years, the difference between 3.75% and 4.74% is approximately AED 249,400 in total interest paid, or around AED 831 a month. The cheapest conventional rate, 3.89%, costs roughly AED 34,400 more in total interest than the cheapest Islamic rate at 3.75% over the full term.

Should I compare fixed or variable UAE mortgage rates?

You need to compare both the fixed-period rate and the revert variable rate, since most UAE mortgages switch from a fixed rate to EIBOR-plus-margin after 1 to 5 years. A bank offering a lower fixed rate but a higher EIBOR margin on revert may cost more over 25 years. The total cost comparison across the full term matters more than just the headline fixed rate.

Are Islamic mortgage rates lower than conventional in the UAE?

At the floor, yes. On the records read on 14 August 2026 the cheapest Islamic profit rate is 3.75% from Sharjah Islamic Bank against 3.89% conventional from Emirates NBD, a 0.14 point advantage that reverses the position earlier in 2026. It is not true bank by bank: Standard Chartered Saadiq One is 4.44% against MortgageOne, its conventional twin, at 4.39%, so the Islamic premium there is 0.05 points, not the 0.15 you get by comparing it to the bank's 4.29% standard loan. Compare the full cost of both, arrangement fees and revert rates included.

What should a UAE mortgage comparison calculator show?

A useful UAE mortgage comparison calculator should show: monthly payment during the fixed period, monthly payment at the revert EIBOR-plus-margin rate, total interest over the full term, total processing and upfront fees, and the effective annual rate across both periods. The headline fixed rate alone does not tell you which bank is cheaper over 25 years.

How much does a 0.25% rate difference matter on a UAE mortgage?

On a AED 1.5M mortgage over 25 years, a 0.25 percentage point difference in the interest rate changes the monthly payment by approximately AED 207 and the total interest paid by around AED 62,200 over the full term.

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Compare rates from major UAE banks now

See monthly payments, total costs and revert rates side by side.

Sources