AN EXPERT’S GUIDE TO INSTANT PRE-APPROVAL OF MORTGAGE IN UAE
House hunting without knowing your budget could make you fall in love with something out of your league or overlook a perfect fit within your reach. That’s where pre-approval of mortgage comes in, offering clarity and peace of mind from the get-go.
Mortgage pre-approval doesn’t guarantee you a home loan, but it does provide a realistic picture of your borrowing power. So, if you’re ready to simplify your home-buying journey and make smarter financial decisions, understanding pre-approval of mortgages is your first move.
A mortgage pre-approval is a primary evaluation by a lender that determines how much a person can borrow based on financial stability.
During pre-approval of the mortgage, the lender will overview the buyer’s financial information, including credit history, income, assets, and debt, to provide a conditional commitment on a loan amount.
Here are a few factors that influence pre-approval of a mortgage:
The real estate industry in Dubai and other emirates is crowded with several mortgage lenders. With numerous options available, evaluating each lender carefully is essential, as well as paying close attention to processing fees and any early or late payment charges that may apply.
For instance, My Mortgage offers low interest rates and instant mortgage pre-approval, allowing you to focus on finding your ideal home without unnecessary delays. Let’s break down the steps to make the pre-approval on the mortgage process through My Mortgage as smooth as possible.
The process begins when you submit a mortgage request to My Mortgage. This request includes basic information, such as whether it is a new purchase, the type of house (villa or apartment), your budget, etc. This enables the My Mortgage team to analyze potential mortgage options suited to your needs.
Whether self-employed or salaried, all UAE residents must provide basic identification documents, including copies of passports, visas, and Emirates IDs. For this step, clients will need to provide additional financial documentation.
Self-employed clients should submit:
Salaried clients should submit the following:
When you submit a request to My Mortgage, their team reviews your profile to ensure it meets mortgage pre-approval in Dubai’s eligibility requirements. They first check your age (minimum 21, with repayment by age 65) and verify your income stability, which requires at least AED 10,000 monthly and a minimum of six months with your current employer. They also analyze your credit history and debt-to-income ratio to gauge your financial reliability.
Once the financial profile is documented, My Mortgage lists the best mortgage products in the UAE. They review exclusive offers, interest rates, and payment options, presenting clients with tailored choices. Clients receive detailed explanations for each option, enabling them to select the mortgage that best aligns with their financial goals.
Once approved, My Mortgage reviews the final terms and prepares clients for the property transfer. They guide clients through each detail, from signing the loan agreement to the final property handover, ensuring a smooth conclusion to the pre-approval for the mortgage journey.
Before initiating your mortgage application, knowing the upfront costs, including the down payment, real estate agency commission, and land department fees, is crucial. You can also use a pre-approval mortgage calculator to calculate your costs.
Here are the costs that are generally incurred:
To boost your chances of receiving a mortgage pre-approval in Dubai within 3-5 business days, ensure your documents are complete, accurate, and up-to-date. With everything in order, pre-approval can be issued quickly. Here are some tips to help speed up the process.
Your mortgage application will be stronger with a larger down payment. Lenders consider approval risk, and the more you can put down, the less risky you seem and the better the chances of approval. For instance, if you’re an expat, try to pay more than 20% of the property value, as this shows greater financial commitment.
Banks closely evaluate your debt-to-income ratio, which measures your monthly debt payments relative to your income. A lower ratio indicates financial stability and reassures lenders of your ability to repay the mortgage. You can improve this ratio by paying off smaller debts, like personal loans or credit card balances, before applying for a mortgage.
Before applying for pre-approval, avoid big purchases like cars and electronics. A consistent and stable employment history gives banks confidence in your income reliability. If you have changed your job recently, you should wait a little longer before applying for the mortgage, especially if your new job is on probation.
Navigating mortgage pre-approval can be complex and detail-oriented, especially when gathering the right documentation and ensuring accuracy. A slight misstep in paperwork or timing can delay approval, which can be frustrating when you’re eager to start your home search.
With My Mortgage, this process is simplified, as our experts guide you through each requirement, ensuring everything is in order and submitted on time. We offer personalized mortgage solutions to make the journey even smoother, providing fast, tailored support to help buyers take the next step with confidence.
No, pre-approval is not conclusive proof of a mortgage. The final credit decision is based on a credit report of your financial status and the proposed property. Mortgage providers like My Mortgage can help you have a smooth and efficient process, ensuring all your documentation has a higher chance of approval.
Mortgage pre-approval in the UAE can take up to a week or two, depending on document submission and bank processing time. However, with My Mortgage, the process can be completed in a few days if all necessary documents are provided correctly.
Yes, a mortgage pre-approval can pull your credit slightly downward since the bank pulls credit report information.
Pre-approval works to your advantage as it informs you of your limit, makes you seem more credible to sellers, and can greatly shorten the buying process. This also gives insight into what can be spent, and an alert is created on any changes to it.