Dubai: New initiative aims to boost financing options for first time property buyers

Dubai’s real estate market continues to soar, attracting a growing wave of investors. Yet, one persistent challenge has been the lack of mortgage options for off-plan properties—a norm in the UAE where financing is typically limited to ready homes. This has made market entry difficult for first-time buyers, adding to their financial strain.

The Dubai Land Department recently stepped in to ease access through initiatives such as reduced down payments, partial waivers on Dubai Land Department (DLD) fees, and priority booking under the First-Time Home Buyer Programme.

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To bridge this critical gap, Majid Al Futtaim, the region’s leading developer and lifestyle pioneer, has signed a Memorandum of Understanding (MoU) with Emirates NBDs. For the first time, buyers across Majid Al Futtaim’s residential portfolio can secure mortgage financing during the off-plan phase—a milestone that signals a shift in how homebuyers plan long-term investments in Dubai.

Under the agreement, customers who have completed 50 per cent of their property payments can apply for home loans with Emirates NBD, benefiting from competitive interest rates, repayment terms of up to 25 years, and eligibility for both UAE nationals and residents meeting standard credit criteria. This setup consolidates remaining payments under one banking partner, offering clarity and convenience as buyers move toward ownership.

For Majid Al Futtaim, the partnership addresses a long-standing gap for customers seeking the security of traditional mortgages while purchasing off-plan. Combined with Dubai’s incentives—such as lower upfront costs, flexible payment plans, and interest-free installment options for registration fees—this model reflects growing demand for predictable, bank-backed financing.

Ahmed El Shamy, CEO of Majid Al Futtaim Development, said: “Buying a home is one of life’s biggest decisions, and financial clarity is key. Partnering with Emirates NBD gives our customers a familiar, flexible option—especially for those who want mortgage stability before handover. This step reinforces our commitment to making homeownership accessible and straightforward.”

Rohit Garg, Group Head of Retail Products and RBWM Chief Digital Officer at Emirates NBD, added: “Dubai’s property market attracts a diverse buyer base with a rising preference for structured payment plans. By collaborating with Majid Al Futtaim, we’re enabling buyers to plan ahead while leveraging off-plan opportunities. This partnership aligns with our mission to support sustainable homeownership across the UAE.”

Both organisations view this as the start of a broader approach to financing across Majid Al Futtaim’s developments—strengthening market confidence and making high-quality communities more accessible.

Somshankar Bandyopadhyay

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somshankar@khaleejtimes.com

Somshankar Bandyopadhyay is a News Editor with close to three decades of experience. Currently, he manages the business section, ensuring that the top economic and business news of the day reaches its readers.