Mortgages

It provides the opportunity for customers, both national and expatriate, to borrow money for the purchase of selected residential properties in developments in the Emirates of Abu Dhabi and Dubai. The home loan will be secured against the property.

Yes. However you can apply without being a current HSBC customer and we will arrange an appropriate account for you if you are approved for a home loan.

Customers earning a income of AED15,000 per month and above (or equivalent in other currencies), who wish to purchase a property from one of the selected developments for which HSBC is providing finance, subject to meeting HSBC's lending criteria.

• EIBOR home loans are based on the three-month EIBOR, subject to quarterly review, and a fixed margin that remains fixed for the life of the loan
• maximum term of 25 years (subject to applicable regulations)
• finance amount of up to 75% of the purchase price or the professional valuation, whichever is lower

We offer competitive home loan rates. If you take a 3-month EIBOR based Home Loan, there is no early settlement charge if you repay the loan in full after three years and before the end of the repayment period, with own funds or proceeds from sale of property. Administrative charges will apply for loan closure.

You can also overpay throughout the term of the home loan (subject to minimum and maximum overpayment requirements). For further details, download our Schedule of Services and Tariffs below.

A dedicated team of experienced mortgage advisers will assist you to arrange your home loan. Following your purchase further assistance is available by calling at 800 HOUSE.

Interest is calculated on the daily principal balance outstanding on your home loan account. Your monthly installment will be applied against your outstanding balance, plus the interest accrued.

We will require you to repay the full outstanding balance of your home loan (principal plus interest) owing up to the time of sale, whereupon we will release our security over the property. Please call toll free 800 HOUSE or visit a branch for further details.

Yes. Customers can take life and property insurance arranged by HSBC or provide their own cover through an accepted insurance provider and assign the benefit of the policy to HSBC. If a customer makes their own insurance arrangements there may be a cost involved in the assignment of the policies and the borrower must pay these costs. Life insurance and property insurance (for villas and townhouses) are both mandatory.

If you are planning to close your mortgage account with us and pay off the remaining outstanding balance of the home loan, we request you to let us know the appropriate scenario applicable. This information is required by us in order to issue the relevant liability letter(s).

1. Are you planning to sell the property to a cash buyer? If so, please provide the name and passport of the buyer and specify the source of the buyer's funds.
2. Are you planning to sell the property to a buyer who is availing a mortgage with HSBC Bank Middle East? If so, please provide the name of the buyer.
3. Are you planning to sell the property to a buyer who is availing his/her mortgage from another bank/finance company? If so, please provide the name of the bank/company.
4. Are you planning to transfer your mortgage from HSBC to another bank/finance company? If so, please provide the name of the bank/company.
5. Are you planning to pay off and close the mortgage with your own funds? If so, please specify the source of these funds.
   

• once you let us know your closure scenario, we shall arrange to prepare your liability letter, which will give you the pay off amounts including charges, within 15 working days
• additionally, a copy of the liability letter will also be prepared (applicable to scenario number 3 and 4 only) in order for you to forward the same to the other bank/company
• the liability letter needs to be signed by yourself, and the original copy must be returned to the bank in order for us to proceed with your closure. (The Bank will be unable to settle the outstanding mortgage if the signed liability letter redemption statement is not returned to the HSBC Home Finance Department)

You can make funds available in your HSBC bank account and provide us with an authority to debit the account. Alternatively you can send us a manager's cheque payable to: HSBC Bank Middle East Limited

• if you close your mortgage through cash (funds available in your HSBC account), the documents will be released after seven working days
• if you close your mortgage by giving us a cheque (manager's cheque), the documents will be released after ten working days

You can make an overpayment at any time. This should be a minimum of AED25,000 on top of your usual monthly instalment.

Such overpayments can only be made on your usual monthly instalment date. 

• if you wish to make an overpayment please notify us in writing
• please note that you will not be able to redraw any overpayments made. We must not normally reverse or cancel any overpayment instructions.
• you can choose to make the part payment by using your online banking account or by signing a debit authority for us to facilitate the payment
• please note that following the overpayment your loan tenure will remain the same, however your monthly installment amount will reduce
• existing Amanah mortgage customers looking to make overpayments will need to sign a letter in addition to the above
• for any further queries, you can contact one of our mortgage advisers or call 800 HOUSE