Mashreq Bank Home Loan for UAE Residents

Are you looking for a bank that can provide a home loan that fits your needs and budget? You may not need to go further than Mashreq Bank home loans! With over five decades of experience, it has cemented its reputation as one of the UAE’s best-performing banks. Whether you are a first-time home buyer or investing in commercial properties, Mashreq Bank provides multiple home solutions to help you meet your financial objectives.

One such option is the Mashreq Home Loan for UAE Residents, specifically designed to cater to the needs of residents living in the UAE. With competitive interest rates, flexible repayment terms, and a range of benefits, Mashreq Bank can be your partner in making your dream home a reality.

In the following article, we'll delve deeper into Mashreq Bank home loans for UAE residents and go through its features, eligibility criteria, application process, and more.

Mashreq Bank Home Loan for UAE Residents – Things to Keep in Mind

Before moving ahead, it is crucial to keep the following pointers in mind while applying for a Mashreq Bank home loan for UAE residents –

• Mashreq Bank home loan for residents is available to both salaried & self-employed individuals and UAE nationals & expatriates.
• The proceeds can be used to purchase your dream home, refinance an existing one, and more.
• You are required to pay the monthly instalments on time to avoid any charges or legal proceedings.
• According to UAE Central Bank rules (Circular No. 8 - 2020), you have the right to cancel your home loan application within five working days of signing it. This period is called the cooling-Off period. If you decide to cancel your application, you must inform the bank and pay back any money that you received from the loan or any amount paid by Mashreq bank to another bank to clear your debts within six business days of submitting an application. 

In case you don't apply for any cancellation, the bank shall assume that you still want the loan, meaning that you will have to continue with it.

• Before the disbursement of funds to your account, life and property insurance are mandatory. 
• The cost of Property Insurance is determined based on the value of the property and is offered through Oman Insurance Company (OIC). Before the final disbursal and every year after, the insurance premium amount will be deducted from your account. 

You can expect to receive a Property Insurance certificate from the insurance company within one month.

• As per the terms and conditions, life insurance is also offered through Oman Insurance Company. It is to be noted that an assignment fee shall be applied, and the applicable policy can only be assigned during the origination of the loan. 

However, those who have life insurance policies with OIC, Zurich, or Alico can assign their policy to the bank, provided it meets the following criteria – 

• The policy duration is longer than six months
• The policy covers the total value of the loan
• The policy covers the entire loan tenure, including the construction period
• The policy is currently active and premiums are paid up to date

Eligibility Criteria for Mashreq Bank Home Loan for UAE Residents

To obtain the Mashreq Bank home loan for UAE residents, you must meet the following eligibility criteria –

• Minimum Age: 21 years at the time of application
• Maximum Age: 65 years for salaried and 70 years for self-employed individuals at loan maturity
• Minimum monthly salary: AED 15,000
• Employment Status: Salaried and self-employed individuals are eligible for the loan.
• Nationality: Both UAE nationals and expatriates can apply

Check Mashreq Home Loan Eligibility in UAE

Features and Benefits of Mashreq Bank Home Loan for UAE Residents

Listed below are the notable features and benefits of Mashreq Bank home loans for UAE residents -

• You can avail of up to 85% of the property value (for Emiratis) and 80% of the property value (for expatriates) or up to AED 10 million, whichever is lower.
• No salary transfer is required to obtain a home loan for UAE residents.
• Mashreq Bank offers a flexible repayment period of up to 25 years.
• You can use the Mashreq Bank mortgage calculator to get an estimated home loan equated monthly instalments.
• In addition, you can use the loan comparison calculator and choose the best available option suiting your needs.
• The bank offers a variable rate option from day 1 of the loan.
• Both UAE nationals and expatriates are available for Mashreq Bank home loans for UAE residents.
• Salaried and non-salaried individuals are eligible for the loan.
• Your Mashreq Bank home loan for UAE residents shall be evaluated on your income stream, employment history & stability, ability to handle new credits, the value of the property purchased, and down-payment amount.
• Refinance option under a home loan is available to all residents, which allows you to liquidate the cash value of the property.
• Minimal paperwork is required to get the home loan.
• You will get a dedicated relationship manager who will serve as a single point of contact for all your banking needs.
• Mashreq Bank does not charge a processing fee for salaried individuals who are applying for the facility of loan buyout from other financial institutions.
• The bank aims to pre-approve your loan in 10 minutes.
• For a stipulated time frame, Mashreq Bank also offers a cashback benefit of up to AED 2000. However, the offer only applies to customers meeting the happiness account criteria.

Mashreq Bank Home Loan for UAE Residents Interest Rates

• Mashreq Bank offers home loans with a combination of both fixed and variable rates with a minimum rate on reducing balance.
  • Fixed Interest Rate = Depending on the borrower's profile and subject to approval
  • Variable Interest Rate = Interest rates linked to 3 months EIBOR* + Bank margin**
  • Minimum Rate = Minimum floor rate set up by the Mashreq bank, which also depends on the final approval.

* The UAE Central Bank publishes the EIBOR (Emirates Interbank Offered Rate) as a daily reference rate. Every calendar quarter, on the 1st day, the bank fixes the 3 Months EIBOR.

** The bank margin remains fixed for the entire lifespan of the loan.

• Currently, Mashreq Bank has started a campaign for all UAE residents who wish to avail of a Mashreq home loan. The campaign shall start for mortgage disbursed from January 1, 2023, till March 31, 2023. 

Given below are the features and benefits of the campaign:

• During this period, Mashreq Bank offers a special variable rate of 1.49% + 3 Months EIBOR.
• It applies only to salaried individuals who transfer their salary to Mashreq Bank.
• The minimum salary requirement is AED 25000 or above.

Documents Required for Mashreq Bank Home Loan for UAE Residents

Here is the stack of documents that you will need to apply for the Mashreq Bank home loan for UAE residents -

• Duly filled Mashreq Bank home loan application form
• Passport copy with a valid visa
• Last six months' bank statements
• A liability letter from the bank addressed to the Mashreq Bank
• Copy of purchase contract
• Copy of down payment receipts
• Salaried employees are also required to submit the salary certificate addressed to Mashreq Bank.

Apart from the mentioned documents, self-employed individuals are required to submit the following documents to avoid any delays -

• Memorandum and articles of association
• Audited financial statements for the last 2 years
• Copy of trade licence
• Copy of board resolution
• Copy of chamber of commerce registration
• Business profile on company letterhead

Note: The bank may ask you for additional documents if required.

How to Apply for Mashreq Bank Home Loan for UAE Residents?

Given below are the ways by which you can apply for a Mashreq Bank home loan for UAE residents – 

Via Policybazaar UAE

• Continue on policybazaar.ae and head to the 'Home Loan' section from the drop-down menu under the 'Banking Products' tab.
• Fill out the lead form on the next page with the required details.
• After submission of the form, you will be redirected to the ‘Home Loan’ quotes page.
• You can use the filter and search for Mashreq Bank home loan.
• Follow the on-screen instructions and complete your Mashreq Bank home loan for UAE residents purchase.

Via Bank’s Official Website

• Go to the official website of Mashreq Bank.
• Select 'Home Loan for UAE Residents' under the 'Home Loan' section.
• You will be redirected to the ‘Home Loan for UAE Residents’ profile page.
• Click on the 'Apply Now' button.
• Fill out the lead form with the specified details such as your name, monthly, income, and other info.
• Upon submission, a concerned bank representative will get back to you.

Via Physical Branch

As an alternative to the above methods, you can visit your nearest physical branch of Mashreq Bank and approach a concerned bank representative, who will guide and help you with the loan application process.

Fees and Charges Associated with Mashreq Home Loan for UAE Residents

Tabled below is the schedule of fees associated with Mashreq home loans for UAE residents –

Parameters	Fees and Charges
Processing fee (for a new home loan)	1.05% of the loan amount
Processing fee (for a top-up home loan)	1.05% of the incremental loan amount
Property evaluation fee	AED 2,625
Group life insurance fee	0.165% per annum of the outstanding loan amount
Property insurance fee	0.06% of the property value
Late payment fee	Nil
Partial or early settlement fee	1.05% or AED 10,000, whichever is lower
Pre-approval charges	AED 1,050

Mashreq Bank Mortgage Loan Calculator

The Mashreq mortgage loan calculator is an easy-to-use tool for determining the monthly payments required to pay off a mortgage loan over a set period. You can use the sliders to input various factors including the loan amount, interest rate, and term of the loan to compute the estimated EMIs.

With the help of this calculator, you can make informed decisions about the affordability of a mortgage and whether you need to adjust your budget or consider a different loan option. Additionally, using the loan comparison calculator, you can compare different loan options and choose the one that suits your financial situation.

To access the Mashreq mortgage loan calculator, follow the given steps -

• Visit the official website of Mashreq Bank.
• Go to the 'Home Loan with Residents' under the 'Home Loan' tab.
• This will take you to the ‘Home Loan with Residents’ profile page.
• Scroll the page and locate the Mortgage Loan Calculator. 
• Key in the loan amount, interest rate, and loan term.
• You will get the monthly statement within a split second based on the inputs.
• You can also tweak the values and choose the best option.

Terms and Conditions of Mashreq Bank Home Loan for UAE Residents

Given below are the major terms and conditions related to the Mashreq Bank Home Loan for UAE Residents -

• The bank has the right to change any or all of the terms and conditions after giving 60 days written notice.
• It is necessary to inform the bank if there are any changes in your contact details during the loan term.
• If you skip the monthly repayments, the bank can contact you by phone, email, or even visit your home or workplace. They may also take legal action and get the police or court involved.
• In case of default, the bank can take possession and sell the property.
• Any expired documents or outdated details can hamper the process of your home application.

Why Choose Mashreq Bank Home Loan for UAE Residents?

Mashreq Bank home loan for UAE residents is a top-notch choice for UAE residents due to its competitive interest rates, convenient application process, personalised assistance, and exclusive offers. In addition, the bank has a reputation for being a trustworthy and reliable financial institution, meaning that you can be confident that you are making a wise choice by choosing Mashreq Bank home loan for UAE residents.

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