Abu Dhabi records first off-plan mortgage, allowing buyers who paid 50 per cent to secure loans before handover

Abu Dhabi has recorded its first mortgage registration on an off-plan property, creating a fresh financing pathway for purchasers who have paid 50 per cent of a unit’s value prior to handover. The deal was executed by Aldar Properties with Abu Dhabi Commercial Bank (ADCB) under a framework introduced by the Abu Dhabi Real Estate Centre (ADREC). Under the new process, buyers who have settled 50 per cent of an eligible off-plan unit can mortgage the outstanding balance before construction finishes. Lenders are able to cover remaining instalments during the building phase as well as the final payment at handover. The financing bank may be listed on the mortgage registration certificate before handover, and ADREC said mortgage interests in eligible units can be entered in the Initial Real Estate Register to create a formal record for buyers, developers and lenders. Ghazi Saeed Alateibi, executive director of the real estate transaction sector at ADREC, said the service strengthens transparency and provides greater clarity and protection for buyers, developers and financial institutions. Aldar noted the 50 per cent payment threshold aligns with UAE Central Bank regulations. Faisal Falaknaz, Aldar’s chief financial and sustainability officer, described the initiative as a significant step to improve market transparency and accessibility and welcomed the completion of the first transaction with ADREC and ADCB. Aldar is offering this route via Home Finance by Aldar, a free advisory service giving access to mortgage options from more than six conventional and Islamic banks, including ADCB, Abu Dhabi Islamic Bank, Dubai Islamic Bank, Emirates NBD, Emirates Islamic and First Abu Dhabi Bank. Customers can apply through the Live Aldar app and request a call back.