Can you buy property in the UAE with no down payment?

Is it legally permissible to purchase property with a zero per cent down payment? A few real estate agents have offered me this option for properties in Dubai, but I'd like to understand whether it's actually allowed under UAE law.

- Ashish Mehta

Pursuant to your queries, the provisions of the UAE Central Bank mortgage regulations shall apply.

In the UAE, generally by practice, while purchasing a property through mortgage finance, the Central Bank of UAE regulations stipulate that banks and financial institutions must ensure a minimum buyer contribution.

Article 3 of the UAE Central Bank Regulations on Mortgage Loans (Notice No. 226/2013) states that: "The maximum Loan to Value (LTV) ratio are as follows:

First house/owner occupier: Each borrower can only claim one property under this category.

A. Value of property less or equal to Dh5 million - maximum 85 per cent of the value of the property.