Dubai reports 68% y-on-y increase in mortgage transactions for Q1-Q3 2021

Dubai has registered 68 percent more mortgage transactions as of September 2021, compared to the same period in 2020 and 71 per cent more than in 2019.

Q3 2020 was an active period in the mortgage industry, as banks and other stakeholders reopened for business. Q3 2021 transactions exceeded numbers recorded during an year-earlier period by 22 per cent. Meanwhile, mortgage transactions in Q3 2021 were up 32 per cent on the same period in 2019.

“It has been a very busy year, with the total number of mortgages registered in Dubai during the first three quarters already overtaking the total number registered in the whole of 2020. This is so exciting to see as more buyers are getting onto the housing ladder,” said Warren Philliskirk, director at Mortgage Finder. “Now with Expo opening we’re even more excited to see what happens as we enter the final quarter of the year.”

According to data from Mortgage Finder, those purchasing property for the first time in the UAE have been particularly active, making up 83 per cent of mortgage transactions.

In 2020, the UAE Central Bank reduced the down payment requirement for first-time buyers in the UAE by 5 per cent, taking it to 20 per cent for non-UAE nationals and 15 per cent for nationals. Villa/townhouse properties accounted for 63 per cent of mortgage purchases amongst Mortgage Finder clients, apartments made up 35 per cent and the remaining 2 per cent was attributed to land, commercial and other property types.

The most popular villa communities as seen by Mortgage Finder transactions were Jumeirah Golf Estates, Arabian Ranches and The Springs, a statement said.