New mortgage products in Dubai

Posted on: September 27, 2007

Written by Select Property

A partnership with a UK building society and the National Bank of Dubai means customers will be offered a simplified mortgage experience when buying property in Dubai.

Historically it has been a challenge to arrange a mortgage in Dubai and the new service is available to both UK and Dubai residents, allowing them to arrange a mortgage in Dirhams with the quick and efficient processing seen in the UK Sterling market.

As new such products become available, they will begin to change the market, however interest rates will be calculated in relation to underlying EIBOR plus 3.55% with either a 1.5% discount for three months or a 1% discount for six months.

At such rates, it is unlikely the new mortgage products won’t have the dramatic effect initially expected, as payment plans offered by developers may still work out cheaper.