What is the Dubai First-Time Home Buyer Program?
The Dubai First-Time Home Buyer Program started on July 2, 2025. It helps people living in Dubai buy their first home.
The program makes it easier to afford property in Dubai. It gives you special discounts, lower fees, and better mortgage deals.
The Dubai Land Department (DLD) runs this program. They work with 13 top developers and 5 major banks to help you.
Why This Program Matters
Dubai property prices went up 60% between 2022 and 2025. This made it very hard for regular people to buy homes.
The government wants to help 5,000 people buy homes in 2025. They want Dubai residents to own homes instead of just renting forever.
When you own a home, you save money in the long run. Your monthly payments can be less than rent in many areas.
Who Can Use This Program?
The rules are simple. You must meet all these requirements:
| Requirement | Details |
| Residency | Must live in Dubai with a valid UAE residency visa |
| Age | Must be 18 years or older |
| First-Time Buyer | Cannot own any property in Dubai already |
| Property Price | Works only for homes under AED 5 million |
| One-Time Use | Can use this program only once in your life |
Important Notes:
You can still use the program if you own property in Abu Dhabi or other emirates. Only Dubai ownership matters.
If you rent a property in Dubai, you can still apply. Rental doesn’t count as ownership.
Both UAE nationals and expats can apply. Everyone gets the same basic eligibility rules.
How Much Money Do You Need?
This is the most important question. Let’s break it down simply.
Down Payment Requirements
The amount you need upfront depends on who you are:
| Buyer Type | Property Under AED 5M | Down Payment |
| UAE Nationals | Ready property | 15% |
| Expats | Ready property | 20% |
| Anyone | Off-plan property | 50% |
Example: If you’re an expat buying a ready apartment for AED 1 million, you need AED 200,000 as down payment.
Other Upfront Costs You Must Pay
Since February 2025, banks cannot finance these fees. You must pay them from your pocket:
| Fee | Amount |
| DLD Registration | 4% of property price |
| Agent Commission | 2% of property price |
| Trustee Fee | AED 4,200 |
| Mortgage Registration | 0.25% of loan amount |
| Title Deed | AED 500 |
Total Cash Needed: For a AED 1 million property as an expat, you need around AED 270,000-280,000 total.
Good news: The DLD offers payment plans for the 4% registration fee. You can pay it in installments interest-free.
How to Apply for the Program
The process is quick and digital. Follow these steps:
Step 1: Register Online
Go to the Dubai REST app or DLD website. Log in using your UAE Pass.
Step 2: Automatic Check
The system checks if you already own property. It uses your Emirates ID to verify everything.
Step 3: Get Your QR Code
If you qualify, you get a special QR code by email. This code unlocks all the program benefits.
Step 4: Show Developers
When you visit developers or banks, show your QR code. You’ll get priority access and special discounts.
Step 5: Book Your Property
Choose your home and complete the purchase with your benefits.
The whole approval takes just a few minutes online.
Banks Offering Special Deals
Five major banks have special mortgages for first-time buyers:
| Bank | Minimum Salary | Maximum Loan | Interest Rate |
| Emirates NBD | AED 10,000 | 85% | From 3.99% |
| Mashreq | AED 15,000 | 80% | From 3.99% |
| FAB | AED 15,000 | 85% | From 3.99% |
| ADIB | AED 10,000 | 85% | From 3.99% |
| CBD | AED 12,000 | 85% | From 4.29% |
What Banks Look At
Your Debt-to-Income Ratio: Your total monthly debts cannot be more than 50% of your salary.
This includes your new mortgage, car loans, credit cards, and personal loans.
Your Income: Banks usually lend 7-8 times your annual salary. For example, if you earn AED 15,000 per month, you can borrow around AED 1.26-1.44 million.
Special Bank Benefits
Emirates NBD: No application fees. You can pay up to 20% of your loan early each year for free.
Mashreq: Zero processing fees for salaried customers. Get 0.25% rate discount.
Dubai Islamic Bank: Offers Islamic financing with zero profit for UAE nationals on amounts up to AED 1 million.
Which Developers Are Participating?
These 13 developers offer special benefits to program members:
- Emaar Properties
- Nakheel
- DAMAC Properties
- Wasl
- Danube Properties
- Binghatti
- Azizi Developments
- Meraas
- Dubai Properties
- Majid Al Futtaim
- Ellington Properties
- Palma Holding
- Beyond Developments
Special Developer Offers
Danube Properties: Reserves 10% of all units specifically for first-time buyers. You won’t compete with investors.
1% Payment Plan: Some developers let you pay just 1% per month. You pay 20% upfront, then 1% monthly until handover. This is interest-free.
Wasl Properties: Government-backed developer offering homes in affordable areas like Silicon Oasis and Al Warsan.
Best Areas to Buy in 2025
Where should you look? Here are the top communities for first-time buyers:
| Community | Price per sq ft | Why Buy Here |
| Jumeirah Village Circle | AED 950-1,300 | Studios from AED 650,000. Very affordable |
| Al Furjan | Low-Medium | Near Metro Station. Good for families |
| Silicon Oasis | Medium | Tech community. Good schools |
| Arjan | Medium | Family-friendly. 1% payment plans |
| Town Square | Medium | Parks and playgrounds everywhere |
Jumeirah Village Circle (JVC) is the most popular choice. It offers the best value for money. Your mortgage payment here can be less than rent.
Understanding All the Costs
One-Time Costs When Buying
Here’s what you pay when you buy:
| Cost | Example (AED 1M property) |
| Down payment (20%) | AED 200,000 |
| Registration fee (4%) | AED 40,000 |
| Agent fee (2% + VAT) | AED 21,000 |
| Bank processing (1%) | AED 10,000 |
| Trustee fee | AED 4,200 |
| Valuation | AED 3,000 |
| Other fees | AED 3,000 |
| Total | ~AED 281,200 |
Yearly Costs After Buying
Once you own the home, you pay these every year:
| Cost | Typical Amount |
| Service charges | AED 10-25 per sq ft |
| Home insurance | AED 1,000 |
| Cooling/chiller | Varies by community |
For a 700 sq ft apartment, service charges cost around AED 7,000-17,500 per year.
Step-by-Step Buying Process
For New (Off-Plan) Properties
Step 1: Find a property you like
Step 2: Pay booking deposit (usually 10%)
Step 3: Sign sales agreement with developer
Step 4: Follow payment plan (1% monthly or bank mortgage)
Step 5: Get keys when building is ready
Step 6: Register property at DLD
For Resale (Ready) Properties
Step 1: Find property and agree on price
Step 2: Sign MOU and pay 10% deposit
Step 3: Seller gets NOC from developer (costs AED 500-5,000)
Step 4: Both parties go to DLD trustee office
Step 5: Pay all fees and register transfer
Step 6: Get new title deed in your name
Important Rules to Remember
The One-Year Hold Rule
You must keep the property for at least one year. You cannot sell it immediately.
This rule stops people from buying just to flip properties quickly.
One-Time Use Only
Once you buy using this program, you lose your first-time buyer status forever.
Even if you sell the property later, you cannot use the program again.
Property Value Limit
Only properties under AED 5 million qualify.
If you want something more expensive, you cannot use program benefits.
Special Option: Rent-to-Own
Don’t have enough cash for down payment? Consider rent-to-own schemes.
How It Works
You rent a property with a contract to buy it later (usually after 3-10 years).
Part of your rent goes toward the purchase price or down payment.
You lock in today’s price, protecting yourself from future price increases.
The Catch
Rent-to-own costs 20-30% more than normal rent.
If you decide not to buy, you lose the equity portion you paid.
The DLD now registers these agreements officially, giving you legal protection.
Alternative Payment Options
The 1% Payment Plan Explained
This is a game-changer for many buyers.
How it works:
- Pay 20% down payment first
- Pay 1% of property value each month
- Remaining balance due when property is ready
- Usually interest-free
Example: AED 1 million property
- Down: AED 200,000
- Monthly: AED 10,000 for construction period
- Balance: AED 600,000 at handover
You have 52-80 months after handover to pay the final balance.
Golden Visa Opportunity
Big news for 2025: You can get a 10-year Golden Visa through property ownership.
New Rules:
You don’t need AED 1 million cash anymore. You just need to own property worth AED 2 million or more.
The property can be mortgaged. The bank loan doesn’t matter for visa eligibility.
This gives you long-term residency security in the UAE.
Tips and Things to Watch Out For
Do Your Research
Check the developer: Make sure they have a good track record. Look up their previous projects.
Verify escrow account: For off-plan properties, confirm the developer has a proper escrow account with the DLD.
Visit the location: Always see the area yourself. Check nearby facilities, traffic, and distance to work.
Financial Planning Tips
Stress-test your budget: Can you still afford payments if interest rates go up 2%?
Keep emergency funds: Don’t spend all your savings. Keep 6 months of expenses saved.
Calculate total costs: Remember service charges, cooling, insurance, and maintenance.
Pre-approval first: Get mortgage pre-approval before serious property hunting.
Common Mistakes to Avoid
Ignoring hidden fees: Many buyers forget about the 6-7% in transaction costs.
Overextending budget: Don’t max out at 50% debt ratio. Leave breathing room.
Buying too far: Long commutes get tiring. Choose location wisely.
Skipping property inspection: For resale properties, always do a thorough check.
For UAE Nationals: Extra Support
UAE citizens get additional help beyond the FTHB program:
Mohammed Bin Rashid Housing Establishment (MBRHE)
For low-income families: If you earn under AED 15,000, you can get housing grants.
For higher earners: Interest-free loans up to AED 1 million.
Types of support:
- Build on your own land
- Buy ready-made villas
- Renovate existing homes
Sheikh Zayed Housing Programme (SZHP)
Federal program offering interest-free loans across UAE.
Available to married citizens with families.
Combined with MBRHE, you can get significant housing support.
Frequently Asked Questions
Can expats use this program?
Yes. Both UAE nationals and expats with residency visas can apply.
What if I own property in Abu Dhabi?
You can still use the program. Only Dubai ownership disqualifies you.
Do I need a real estate agent?
Not required, but agents can help you find properties and handle paperwork.
Can I buy with my spouse?
Yes. Joint ownership is allowed. But only one of you can use the FTHB benefits.
What happens if I sell after one year?
You can sell freely after one year. But you lose first-time buyer status permanently.
Are there restrictions on property type?
Must be residential property. Commercial or mixed-use properties don’t qualify.
Final Checklist Before Buying
Use this checklist to make sure you’re ready:
- [ ] I have a valid UAE residency visa
- [ ] I’m 18 years or older
- [ ] I don’t own any Dubai property
- [ ] I have 27-30% of property value in cash
- [ ] My monthly debts are under 50% of my salary
- [ ] I’ve registered on Dubai REST app
- [ ] I’ve received my FTHB QR code
- [ ] I’ve gotten mortgage pre-approval
- [ ] I’ve researched multiple properties and areas
- [ ] I understand all costs and fees
- [ ] I’ve verified the developer’s reputation
- [ ] I can afford to hold the property for 1+ years
Conclusion
The Dubai First-Time Home Buyer Program is a real opportunity for residents to own property.
The program removes many barriers that previously made ownership impossible for regular salary earners.
With special discounts, better mortgage rates, and developer payment plans, buying your first home in Dubai is now achievable.
Start by registering on the Dubai REST app today. Get your QR code and begin your property search.
Remember: The program is one-time use only. Make sure you’re ready and choose wisely.
Dubai’s property market continues to grow. Getting your first home now means building equity for your future.
Take the first step toward ownership. Your future self will thank you.