The average mortgage rate in Dubai is 4%, so it is more profitable for many people to take out a mortgage than to rent, and investors use it to increase their returns through bank leverage. Interest in the market is growing: according to NF Group, in January-May 2025, the UAE became the number one country for Russians to buy property. Against this backdrop, people are increasingly considering mortgages.
The article examines a real case: how real estate broker Anton Burjuy from Inside Realty took out a mortgage in Dubai and earned almost 26 000 $ in six months.
Can a Russian Citizen Take Out a Mortgage in Dubai?
The short answer is yes, it is possible. However, mortgages in the UAE are only available to Russians and CIS citizens if you have resident status. There are various ways to obtain residency in the Emirates:
If you are a resident, you can obtain a mortgage on the same terms as residents of other countries:
- Down payment — from 20%, or 40% if this is not your first mortgage
- Average interest rate — 4%
- Mortgage term — up to 25 years, but there is an age limit — the loan must be repaid before the age of 65
- Mortgages are only available for completed properties, but for projects under construction, they can be arranged with large developers when the building is 50% complete, with a down payment of 50%
A Real Case Study of a Russian Citizen: How Broker Anton Burjuy Took Out a Mortgage in Dubai and Earned 26 000 $ in 6 months
What Did Anton Buy, on What Terms, and How Much Did He Earn in 6 Months?
At the end of May, Anton bought a ready-made studio on a mortgage for 234 200 $. The down payment was 20% (46 800 $).
He furnished the apartment for 8 170 $ and rented it out. He received 5 440 $ net for 6 months — he did not rent it out in the summer. In the end, he sold the apartment for 283 200 $.
The expenses were as follows:
- DLD fees — 9 360 $
- Bank evaluation (2 times) — 1 900 $
- Bank commission — 870 $
- Furnishing for holiday homes — 8 170 $
- Mortgage payments — 6 540 $
- Penalty for early mortgage repayment — 1 630 $
That is, a total of $46,800 of his own money brought Anton 26 000 $ in profit in six months.
Why Did Anton Achieve Such a Good Return?
The first factor was choosing the right area. Dubai Hills Estate has a limited supply of studios, but high demand.
The second important factor was the entry price. Anton bought the apartment below market value, which was an immediate advantage when selling.
The most important factor was strategy. Anton used minimal investment thanks to a mortgage and quickly exited the deal.
What is Important for Russians to Know Before Applying for a Mortgage in Dubai?
The process of obtaining a mortgage in the UAE differs from that in Russia. Requirements depend on the borrower's category.
It Should Also Be Noted That Early Repayment of a Mortgage Incurs a Fee
The penalty is 1% of the amount exceeding 15% of the balance for the year.
That is, if you have a loan of 1 million dirhams and you pay more than 150,000 this year, anything above that amount will be subject to a 1% penalty.
In addition, there are additional costs that are important to consider. For example:
- Property evaluation
- DLD fee of 4% if the transaction is registered in Dubai
- Mortgage processing fee — 0.25% of the loan amount
- Life insurance 0.01% of the monthly balance, property insurance — 0.06% of the current market value
Conclusion from Anton's Case
A mortgage in Dubai is an excellent tool for Russians. It helps you save on rent while improving your standard of living and earning money on real estate — $26,000 in profit in six months. You can repeat his case.
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19/12/2025
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