Commercial Mortgage UAE 2026: Rates, LTV & Requirements
Commercial mortgages in the UAE run on different rules from residential ones at almost every step — rate, down payment, off-plan treatment, and even the approval process itself.
Higher rates, higher down payments
Commercial mortgage rates typically sit at 6–7% p.a. reducing, against residential rates from around 3.75–4%, because banks treat commercial lending as higher risk. Down payments are also steeper: around 30% for an office or retail unit (up to ~70% LTV), and around 40% for a warehouse (up to ~60% LTV).
Two applicant profiles
Business owners: the company is usually the borrower, with banks typically wanting at least 2 years of UAE trading history, 12 months of company bank statements, VAT and Corporate Tax returns, and an audit report. Salaried applicants: a UAE resident on a salary from around AED 25,000/month can also qualify, without owning a company — banks typically review around 6 months of salary history and apply a Debt Burden Ratio cap of around 50%.
Off-plan works differently here
Unlike some residential off-plan financing products, banks generally do not finance commercial property while it's still under construction. Financing typically becomes available once the Building Completion Certificate (BCC) is issued — commonly used to cover the final payment due to the developer at handover, rather than the construction-stage instalments.
Releasing equity from a property you already own
If you own a fully paid commercial property, equity release can reach up to around 70% of its value — funds can go to the company account without being tied to buying another property, subject to bank policy. Residential equity release can reach up to around 80% by comparison.
The process itself is different
Commercial mortgages don't always follow a standardised pre-approval process — banks often review the full financial package first, and frequently want to meet the client directly before formal credit processing begins. This is normal, not a red flag.
See the full Commercial Mortgage article in our Mortgage Advisory hub for the complete parameter table, including building finance based on rental income and the specific rules for non-resident applicants (a materially harder route, worth understanding before you apply).