Mashreq Bank Home Loans, Mortgages in UAE
Are you planning on buying a home in UAE? Is there a house that you particularly want or have set your eyes on but have no finances to buy the dream house? Mashreq Bank is here to make your dream come true.
You’re probably eligible for Mashreq Home Loan if you are
At least 21 years old
Less than 65 years old
Salaried / Self-employed
with regular income
Earn more than the minimum income required
Your Mashreq Home Loan amount eligibility is based on these factors
Loan capped is AED 15 million
EMIs of other loans lower your eligibility
Increase your eligible Mashreq Home Loan amount by these steps
Make your spouse a co-applicant, and her income will add to your eligibility
Choose longer tenure loan up to 25 years
Alternatively add your parents
Documentation needed to apply for an Mashreq Home Loan
- 1. Application Form
- 2.Valid Passport & Visa copy
- 3. Salary certificate (Previous employment certificate if less than a year)
- 4. Bank statements – 6 months
- 5.Liability letter (if any)
- 6. Property documents – Sale Agreement
Mashreq Home Loan Interest RatesUpdated on 23 Oct 2016
|Processing Fees||1.25% of the loan amount|
|Partial Pre Payment Charges||1%|
Mashreq Bank offers Home Loan for:
Mashreq Bank accommodates for all your home loan needs. The service is tailor made to meet individual needs. The process is simple and convenient. If you are salaried or self-employed or if you need high loan amounts with competitive interest rates and a peace of mind through the whole process, Mashreq Bank is the right place of choice to avail the home loan.
These are the various types of loan an individual can avail:-
Home loan for Primary and Secondary market:
Customer can either buy a property directly from the builder or from re-sale market in Dubai or Abu Dhabi. Keep in mind the following features:
- Loan can be sanctioned up to AED 15 million with a 25 year tenure.
- Attractive interest and profit rates.
- Available to both UAE nationals and expats both self-employed and salaried.
- The bank already has wide network of approved developments that the customer can choose from.
- Customer can choose from the Islamic or Conventional Home Finance.
- The documentation is simple and quick processing.
If you have a house that is fully paid up and not mortgaged, then you can avail the service of Home Equity program which will enable you to cash out equity from your house. You can use the cash to finance your major investments. The features of this service are:
- Customer can avail loan up to AED 15 million.
- Loan tenure lasts up to 25 years.
- Attractive Profit rate options and interest.
- Available to both salaried and self-employed UAE Nationals and expats.
- Customer can choose from the Islamic or the Conventional Home finance option.
- Documentation and processing is simple and fast.
Home Equity or Top-up:
The re-finance facility lets you cash out the difference between your home’s market value and unpaid balance of the home loan. So if you have a house whose market value is AED 2,000,000 and you owe AED 600,000, then then you have AED 1,400,000 as equity. Customer can avail:
- Loan amount as high as AED 15 million with a 25 year loan tenure.
- Available to self-employed and salaried UAE Nationals and expats.
- Attractive interest and profit rates.
- Can choose either Islamic or Conventional Home Finance.
Buyout or Balance Transfer:
If you have a Home Loan with another bank and you wish to transfer the home loan to Mashreq Bank, you can do so with the Mashreq Buyout offer and avail the benefits of lower monthly payments and avail attractive offers. Key features of the service are:
- You can avail finance for up to AED 15 million with 25 years tenure.
- Available for UAE Nationals and expats who are self-employed and salaried.
- There is a choice between Conventional and Islamic Home Finance.
- Simple and quick documentation and processing.
Interest only Mortgages:
With this service provided by Mashreq Bank, you can opt for reduced interest only payments for the initial period up to 3 years. Loans can amount up to AED15 million. The Interest only Mortgages loan tenure is up to 3 years. Loan to value is 60% of the property’s market value. This service is available to UAE Nationals and expats both salaried and self-employed. There are wide range of properties to choose from. The documentation is simple and the turnaround time on Home Loan approvals are fast. The individual should make a minimum of AED 15,000 monthly.
This offer is for the UAE Nationals those who wish to construct a house on the land owned by them. The finance is paid in 2 portions, 50% is before the commencement of the construction and the balance once the 80% of the construction is complete.
You can get loan for up to AED 5 million for a 20 year tenure. This facility is available to the Salaried UAE Nationals. Minimum monthly income should be AED 18,000.
This will help you determine your eligibility and give a clear picture of how much you can borrow before finalizing on a property.
Home Loans for Non-UAE Residents:
Both expats and Nationals living in Qatar, Bahrain, Kuwait, UK, Saudi Arabia and India can purchase residential property in Dubai for investment or as a second home.
Re-finance or Equity Release for Non-UAE residents:
- Loan can be taken for a value up to 60% of the property.
- You can avail loan up to AED 10 million for a tenure of 25 years.
- You get competitive interest rates.
- This service is available for salaried and self-employed.
- Available for Nationals and expats residing in Bahrain, Qatar, Kuwait, UK, Saudi Arabia and India.
- Post tax the monthly income should be AED 25,000.
Commercial Mortgage Loans for UAE Residents:
- Get a loan amount as high as AED 10 million.
- Loan tenure is up to 10 years.
- Available for UAE Nationals and expats both salaried and self-employed.
- The bank has wide network of approved developments for the individual to choose from.
- Individual should be salaried or self-employed.
- Individual should be an UAE National or expat.
- Salaried individual needs to have a minimum monthly income of AED 50,000.
- Self-employed individual should have monthly income of AED 40,000.
The UAE residents have a variety of offers to choose from such as loan for primary as well as the secondary market, equity release. Home equity is an amazing facility provided by the Mashreq Bank. The bank also offers to buy out or you can transfer the loan balance. Construction finance is also available which can is given in two portions. The pre-approved facility will give you a clear idea of how much loan you are eligible for. The non-UAE residents can make the most of the banks facility by letting them purchase residential properties in Dubai as an investment or as their second home. Individuals can also buy commercial space in Dubai from the wide range of approved developments and areas.
- Who will process my home loan?
- How long will it take to get my loan approved?
- How is my Home Loans application evaluated?
Home Loan Relationship Officer from Mashreq will visit your home or office at your convenience to complete the formalities. You also have the option of visiting our specialised home loan centre.
The loan process will take at least seven working days subject to submission of all required documents.
Your application will be evaluated on the following criteria:
- Your income stream
- Your employment history and stability
- Your ability to handle current obligations as well as new ones
- The value of the property being purchased or refinanced
- Your assets to assess your ability to meet your down payment
Refinance allows you to liquidate the cash value of property, available to all residents, expatriates and UAE Nationals.
Yes, Mashreq deals with two types of transactions:
Full Payment: Where the first purchaser has made 100% payments to the developer and is selling the property to you. Here the payments would be made to the first purchaser.
Part Payment: Where the first purchaser has only paid the down payment and the balance is yet to be made to the developer. Here, the down payment would need to be paid by you to the seller and the balance be made to the developer.
What is a pre-approval?
A pre-approval would help you determine your eligibility for a Home Loan before you decided to finalise a property.
Yes, Mashreq extends Home Loans to non UAE Residents of Qatar, Bahrain & Kuwait, UK, Saudi Arabia and India.
To a non UAE Resident Mashreq finances up to 60% of the fair market value of the Property.
Fair market value of a Property is determined by a Mashreq approved Independent Valuation Agency.
For Home Loans in UAE to a Non-UAE Resident Mashreq finances up to AED 10 million. Based on your financials our expert Home Loan officer shall assist you in determining your Home Loan eligibility.
Currently Mashreq offers an attractive Conventional Home Loan option to Non UAE Resident.
Mashreq Bank’s Relationship Officer will inform you about the status of the loan. An offer letter will be provided to you on approval. You need to complete the formalities within 30 days of issuance. The offer letter is valid for a period of 60 days to allow you to complete the fixed formalities.
The main factor while taking a home loan is the interest rate. Home loans are easily available from various banks across the UAE and the interest rate that is applicable on these loans depends on the bank that offers that loan. It is the rate of interest on the Home Loan that affects the EMI and hence your monthly budget throughout the tenure of the loan.
Buying a property for the first time in your life and that too on mortgage? It is a huge expense and a massive commitment to get involved with. Hence there are certain things you will need to know about it before you can proceed.
Ever felt like changing your lender? There are lots of things that make refinancing a mortgage a good idea and the chief among them is that if can help ease the pressure of monthly payments. You can also walk away with lots of benefits, depending on the bank.
Did you know that you can avail finance by tapping into the positive equity of your property? Instead of letting your property to sit idle, you may use it to avail finances. Many banks provide cash advances against properties for a lower rate of interest. Using properties as a collateral will help get cash advances of a higher amount at a very low rate.
Buy-to-let mortgages are best suited for the people who want to make an investment in the property with just the intention of letting out the property for rent. But since their purpose differs much from the regular mortgages, so does their other attributes. Hence it requires a well informed decision before opting for it.
Home Equity Loans provide the facility for homeowners to borrow funds by putting up the equity in their homes as leverage. Home Equity Loans or Second Mortgages are among the easiest sources of cash a customer could wish for. And these being tax deductible, offer an additional benefit.
Home Refinance Loans provide an option to the customers to opt for an additional finance on the existing property so as to get a better term and rate of interest than offered by their current mortgage. The second mortgage can be taken out once the first has been repaid.
Subprime Mortgages provides mortgages for the acquisition of residential real estate, sanctioned to customers with a bad credit history. Hence the risk of default on these loans is significantly higher and so are the fees to make up for the extra risk.
Reverse Mortgages are a special kind of mortgages targeted only at the customers who have crossed the age of 62 years. The banks or the lenders provide the money against the equity in the existing property and also do provide for the payments to be made either monthly or occasionally in lump sums.
Interest only Mortgage in the UAE provide the facility to the customer to pay off the interest on the mortgage before the principal amount. Interest only mortgages come with a fixed term and have so many benefits apart from low initial payments and are suggested for the customers who intend to sell the property after the end of the mortgage.
Fixed Rate Mortgages offer finance at fixed rates throughout the loan tenor and hence the monthly payments due on fixed-rate mortgages also remain the same. They are the exact opposite of adjustable rate mortgages in which the monthly payments may be low during the initial stages of the mortgage but could potentially increase to almost double the initial interest rates which will increase the monthly payments.
News about Mashreq Bank Home Loan in the UAE
Mashreq third quarter net profits fall by 7.6%
The net profits for Dubai’s third largest lender, Mashreq, have come down by 7.6% in the third quarter of 2015. Between July and September, the company made a profit of AED 541.4 which is AED 45.4 million less than profits recorded for the same period in 2014. The profits from loans was strong but its advantages were offset by the loss in income from various fees. The profits from Islamic products and interests was AED 825.9 million which is higher than last year’s AED 785.6 million.
However, in the overall picture for the 9 months of 2015, the profit has actually risen by 5.1% this year. As compared to last year loans have increased by 1.9% while the deposits by customers have grown by 9.3%.
23rd October 2015