In the UAE, there are two main types of mortgages, the first is Real Estate Islamic financing and the second is commercial (conventional) real estate financing
The main difference between the two patterns is in calculating the bank’s profits from financing. The approach of Islamic financing is that the bank calculates its profits on the Murabaha system or the leasing system, while in the commercial or traditional method, the calculation is done by setting an interest rate, either fixed or variable, over the span of the loan
You can contact our mortgage consultants to get an insight on the calculation segments and details.