With the launch of mortgagefinder.ae, there is now a one-stop shop of finding the residential and commercial financing solution for you to find your ideal home.
Whether you’re looking to buy your dream home, invest in development or refinance your existing loan, trying to find the best mortgage to suit you can be littered with landmines. Unless you possess a clear understanding of the terminology and the red tape or have the time to do your due diligence with research, obtaining a mortgage could cost you time and money. Further down the line, a poor decision could leave you with bigger headaches in the future. Fortunately a mortgage broker can assist. From doing the research and negotiating the better option for you, to managing all stages of completion, a broker could be your best decision when looking to protect your investment in property. When going directly to a bank you will limit your choice of finance and products – whilst with a broker, they can ‘shop around’ for you. They will look at the current state of the market, advise you on what is the best personalised option for you and only operate on a ‘no win, no fee’ basis.
Discovering the best deal for you will depend on a variety of factors, from the type of property you wish to buy, to the amount of deposit you may lay down and your lifestyle. Different banks and lenders use different guidelines to assess a borrower’s ability to pay back a loan amount. Crucially, before signing a loan agreement you need to understand how fixed and variable interest rates can affect your repayments – as we say, much of this can be overwhelming and why finding someone to do the legwork for you can benefit you in the long run.
Warren Philliskirk has been in the mortgage-finding market in the UAE for little over a decade. Heading Mortgage International and a highly knowledgeable team of consultants, he has been instrumental in finding the best soloutions to fit with individual clients’ needs. And now the company is going one step further in launching mortgagefinder.ae.
A one-stop shop with access to more than 20 leading banks in Dubai and the UAE with alternatives on 250 different mortgage products, this new portal promises to offer the best mortgages around. By simplifying the process and providing a range of options, you are sure to find the one, which suits you.
When the UAE Central Bank imposed caps on mortgage loans, little over a year ago, to 75% for expats (a little higher at 80% for Emiratis), it gave way to greater control. It was healthy for the long-term growth of the real estate market. Although there is a general ‘cooling’ of the market with property sales down especially on off-plan possibilities, experts see this as a sign of a healthy forecast. Post the crash of 2008, buyers are now looking for better value for money not just in terms of lower interest rates, but also in T&Cs and exit fees.
With rental prices increasing at a rapid rate, it is the general reasoning that buying at this time would be a pertinent move. Demand is coming from consumers who are long-term residents, who are looking to cut their housing costs by purchasing as opposed to renting. “If you are looking to either invest in a rental or see yourself remaining in Dubai for a significant period of time, then buying is a sensible option,” explains Warren. “We would advise that purchasing property has long-term benefits as opposed to renting.”
So what costs are involved? Banks will generally charge 1% of the loan as an arrangement fee with an extra AED 3,000 for a valuation, then there are the ‘hidden’ extras of fees to the Dubai Land Department. But all of these can be taken care of through your mortgage broker; they will help you to navigate through the entire process. By making use of a mortgage broker, you may help to allow greater savings on a grander scale.
In short, if you are looking to be in Dubai for the long-haul, general consensus is that your best option is to buy. And in doing so, it would be preferential to gain advice from a broker.
PROS IN USING A MORTGAGE BROKER
• Greater options
•‘Hand-holding’ throughout process
• Navigating the terminology and red-tape
• Minimalising the headache of research and investigation
Want to know more about property investments in Dubai? Join us at the 1st propertyfinder.ae Property Investment Seminar: Where to invest in Dubai and why? The conference will take place at The Four Seasons, Jumeirah in Dubai on Monday 12th of October.
This conference brings together industry specialists to discuss key issues about property investment in Dubai.
The event will be hosted by leading radio MC Tom Urquhart, and the seminar will answer questions such as where to invest? How to finance? And what benefits would you gain from investing.
For agenda and free registration, click here.