Dubai mortgage market soars by 75%

Dubai mortgage market is seeing an upward surge by 75 percent for this fiscal year. Dubai Land Department has made the comparison with same period last year. Official Dubai Land Department (DLD) has given the value based on registration on the system between January 1 and March 21 AED9.99bn ($2.72bn). Comparison shows increase in value by 75 percent to last year when AED5.68bn ($1.54bn) worth of new mortgages was processed.

Mortgage advisor Khadija Ebrahim said this is definitely the case on the ground in the market and that they have seen an increase in the number of inquiries from customers looking for mortgage finance. Number of Dubai residents seeking mortagages is higher and the most popular locations are Emirates Living, Jumeirah Lake Towers and Dubai Marina. The increase was basically ue to a low base last year, and now that the banks have relaxed a bit and are offering better terms and conditions in order to attract customers. Interest rates have also come down and are as low as 6.75 percent, compared to an average of 8.5 percent last year.