Minimum Salary Criteria for Mortgage Loan in UAE

26Dec, 21

Minimum Salary Criteria for Mortgage Loan in UAE

Securing a mortgage in the United Arab Emirates (UAE) can be a crucial step towards owning your dream home. However, there are specific financial prerequisites you must meet before lenders will approve your mortgage application. Home Loan refers to a loan used to purchase or maintain a home, land, or other real estate types. The borrower agrees to pay the lender over time, typically in regular payments divided into principal and interest. The property serves as collateral to secure the loan. A borrower must apply for a Home Loan through their preferred lender and ensure they meet several requirements, including minimum credit scores and down payments.

Home Loan applications go through a rigorous underwriting process before they reach the closing phase. Home Loan types vary based on the borrower's needs such as conventional and fixed-rate loans. In this blog, we will delve into the minimum salary criteria for mortgage loans in the UAE, particularly in Dubai. Whether you're a resident or an expatriate, understanding these criteria is essential for a successful home loan application.

How Home Loan Works?

Individuals and businesses use home loans to purchase real estate without paying the whole purchase price upfront. The borrower pays back the loan plus interest over a set period until they acquire the property outright. Liens against property or claims on property are other terms for mortgages. If the borrower defaults, the lender can foreclose on the property.

A residential homebuyer, for example, promises their home to their lender, who then has a claim on the property. If the buyer defaults on their financial obligations, the lender's interest in the property is protected. In the event of a foreclosure, the lender can evict the occupants, sell the property, and use the proceeds to pay off the mortgage debt.

Minimum Salary for Home Loan in UAE

One of the primary considerations for mortgage eligibility in the UAE is your income. Lenders use your monthly income as a crucial factor to determine whether you can comfortably manage mortgage repayments. The minimum salary for a home loan in the UAE typically varies among banks and financial institutions. However, a general rule of thumb is that your monthly salary should be at least three times the monthly mortgage installment.

Minimum Salary for Mortgage Loan in Dubai

Dubai, being one of the most sought-after cities in the UAE, has its own set of financial criteria for mortgage applicants. While the minimum salary for a mortgage in Dubai can differ slightly from the rest of the UAE, it's essential to be aware of the specific requirements in this dynamic city. In Dubai, most lenders would require a minimum monthly salary of AED 15,000 to AED 20,000. Meeting or exceeding these thresholds is a vital step in securing a home loan in Dubai.

Minimum Salary for Home Loan in Dubai

For those aiming to purchase a home in Dubai, meeting the minimum salary requirement is critical. As mentioned earlier, the minimum salary for a home loan in Dubai varies depending on your nationality and the lender. Local banks, Islamic banks, and international lenders may have slightly different criteria. Therefore, it is advisable to consult with a financial advisor to ensure you are well-informed about the specific requirements of the lender you choose.

Documents Needed in the UAE to Qualify for a Mortgage Loan

While the documentation requirements for a home loan in the UAE vary depending on the bank, the majority of providers typically demand the following documents for eligibility:

  • Passport, visa, and a copy of an Emirates ID

  • Salary history 

  • Bank statements from the last six months' worth of pay stubs

  • Recent reports for credit cards

  • Copy of your most recent leasing agreement or Dubai Electricity & Water Authority (DEWA) bill

How Dhanguard Can Help

Navigating the complex landscape of mortgage criteria in the UAE, especially in Dubai, can be challenging. That's where Dhanguard, your trusted business consultancy firm in Dubai, comes in to assist you every step of the way.

Our team of experts is well-versed in the intricacies of the mortgage market in Dubai and the wider UAE. Here's how Dhanguard can assist you in achieving your dream of homeownership:

  • Tailored Financial Planning

  • Lender Connections

  • Documentation Assistance 

  • Financial Optimization 


Securing a mortgage in Dubai or anywhere in the UAE requires careful consideration of the minimum salary criteria. Meeting these requirements is crucial to your homeownership dreams. Dhanguard, your trusted business consultancy firm, is here to provide expert guidance and support throughout the mortgage application process. With our assistance, you can confidently take the first step toward owning your dream home in the vibrant city of Dubai