Dubai mortgage quote: is 5.79% fixed for 10 years competitive after fees?

C

cleo_lark

Homeowner
The quote expires soon, and I am weighing ten years of predictable payments against the possibility of an expensive exit. It is 5.79% fixed for 10 years on a Dubai purchase of roughly AED 1,780,000. After applying the arrangement fees and relevant loan-to-value band, the deal looks weaker than the promoted rate alone suggested.

Should competing UAE loans be compared over the entire fixed period, or at several realistic sale and refinancing dates? A full-term calculation captures payment certainty, but it could be misleading if I repay early; APR does not seem to resolve that on its own.

I am checking the outstanding balance at each possible exit, along with portability and early-settlement terms. Are there other assumptions I should keep identical across quotes, especially if refinancing is unavailable or too costly when the time comes?
 
I’d compare total cash out over the 10 years: deposit, fees, monthly payments and the balance still outstanding at year ten. APR can help, but it may not reflect your actual holding period or a planned early exit. Run the same loan amount and term for every quote; otherwise a lower headline rate can appear cheaper simply because the assumptions differ.
 
How long do you realistically expect to keep the property and mortgage? A 10-year fix may be valuable if payment certainty matters, but portability and early-repayment conditions become much more important if you might sell or move after three to five years. I’d ask each lender for a year-by-year repayment schedule and a complete fee breakdown, then compare the cost at several possible exit dates.
 
I wouldn’t automatically treat the longest fixed period as the safest choice. It reduces rate-reset risk, but you may pay for that certainty and lose flexibility if circumstances change. Compare the monthly payment with a shorter fixed option, then stress-test the later payment at a higher assumed rate without counting on refinancing. For UAE-specific early-settlement or portability wording, confirm the current terms directly with each lender before deciding.
 
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