UAE is a popular location for foreign buyers to purchase home. It serves both as a holiday destination and an investment property. UAE offers both local and international investors to invest in some of the world's best destination areas for real estates. Whether you need a waterfront property or idyllic community living, UAE provides you with both the options. However, if you are on the look out to buy a home in UAE, you must first calculate a mortgage in order to make the right financial decision. This article provides you with information you need to know when you go for your real estate buying process in UAE.

Things to know about your UAE mortgage:

Here are some things you need to know about UAE mortgage when you go for buying your real estate in UAE.

1. Documents Required

In order to buy a real estate in UAE you must first get your documents ready. The documents that are required for buying a home in UAE are your passport, labor card, Khulasat Qaid (ID card), 6 months bank statements, salary certificates, other income documents, purchase agreement, copy of sale, check for loan processing fee and proof of your down payment.

2. Interest Rate Charged

Here are some of the interest rate options that you will find the UAE banks or your mortgage lenders offering you. However, the rates may vary from one mortgage company to the other as well as one mortgage lender to the other. The interest rate options may be base rate plus 2.5% for the first year, varying rate capped at 9.00% for three years, varying rate caped at 9.50% for 5 years, a fixed rate of 8.50% for three years or a fixed rate of 9.00% for 5 years.

3. Maximum Loan Amount

The maximum loan amount provided to you in order to buy your real estate in UAE is based on your individual financial status. Standard pre completion properties is 80% of developer price, completed property is 80% of the market value according to the appointed valuer (the valuation will be charged).

However, apart from knowing these essential things while you decide to go for buying your real estate, you must make sure to calculate a mortgage in order to make the correct buying decision. Calculating your mortgage will help you in determining which deal offers you the lowest monthly payment and how much you may be able to afford for your home in UAE.