Real Estate

Types of Payment Plans in Dubai for Property Purchase

With the existing real estate industry dynamics, Dubai is one of the best cities in the world to invest in. In 2022 most of the buyers and investors are looking forward to investing in Dubai. Before starting on to the quest for a property or building the home, one should analyse his budget, and the payment plans it allows him to opt for. Some people can be unable to pay all at once. That there are several payment plans Dubai has to offer. Both you and the developer can come to a payment plan which has mutual benefit. You wouldn’t need any third person to settle the matter. We can go through the most famous payment plans discussing both the pros and cons of it. 

Types of Payment Plans in Dubai

Below are the types of payment plans available for you in Dubai when you are planning to buy any new properties. You can also check out the best community in Dubai and lookout for some of the best apartments in Jumeirah village triangle.

Down Payment 

Down payment is the most hassle-free plan one can go for. One has to pay the full amount at once, and the property is his. That also requires less paperwork. It also avoids all the debts and money one has to pay in other payment plans. This also leaves room for negotiation of the price as there is no third person involved. 

But on the other hand, it has cons too. Paying such a large amount at once requires a lot of cash. This can also need the savings one has put up all his life. And in the harder days, there will be nothing to back them. 

Home Loan 

Home loan is one preferred payment plan opted by many. Through this option, one can avail of a home loan. Home loans give everyone a choice to own a home. Mostly the instalments are set, so it’s convenient for the person to repay. 

But it requires a lot of paperwork and a hectic procedure. Interest rates are another con. Sometimes people are able to repay the actual amount but not the interest. Also, not everyone qualifies to get a home loan. 

10 /90 

In this payment method, the buyer has to give 10% of the total amount on his own and the latter 90% he can pay with any loan or mortgage. 

This payment is only available for Dubai residents. Expats or non-residents have to pay 25% of the total amount on their own. 

This method is almost similar to a home loan which requires a lot of paperwork. 


The mortgage also falls into the category of payment plans for property purchases in Dubai. In this plan, one has to keep his property as a mortgage to pay the money. This plan proves to be beneficial for many who own the property. But this option also requires a lot of paperwork. It’s also the loss of property that could be ancestral in some cases. 

Rent To Own 

This payment plan is among the favourites for buyers. This option lets you live in the property you invested in after you pay the amount mutually decided. It can be 50-50 or 60-40 or any percentage. This kind of payment is perfect for those who intend upon giving property on rent. 

But from this payment plan, the buyer turned landlord has to take care of any maintenance issue there occurs. Also, the total amount through this option seems higher than others. 

During Construction and Handover 

Through the payment plan in which the buyer completes his half payment during construction and remaining in the instalments. This option is mostly available on the off-plan Dubai properties. These properties prove to be easy on the pocket. Again the same problem arises with the instalments. The instalments will be a dent in monthly expenses. 

Instalments Until Handover 

Instead of paying the total price at once or taking a home loan, it is easier to break down the price into instalments. One can pay the monthly instalments in the amount that is comfortable for him and own the house in some time. But the person will have to save up every month or cut down his monthly expenses to pay the instalments. 

Also, it is a widely known fact that the instalments prove to be pricier than the other option. 

Post Handover Installments 

This is another payment plan which involves instalments. Everything else goes the same about instalments being pricier than usual. But in this case, people get to use the new home they bought. It proves to be easier on their budget as there is only one home to take care of and pay for. Also it means less paperwork compared to previous instalments payment plans. In some areas, it is also helpful for investors. They can easily put up a tenant and quote a price according to their choice and use it for instalments. But compared to other payment plans, it offers a short time period to pay the instalments. 

Other than the payment plans, one should be clear about some more things, which are the following :

  1. Available time period to pay 
  2. Schedule of payments 
  3. Consider actual price 
  4. Prefer a longer payment plan 


One can find more and better plans based on their requirements and budget. The payment plans in Dubai can be seen as a little bit lenient, keeping the real estate industry’s rise in mind. Also, the payment plans may differ for the residents and non-residents. Consulting a professional expert never goes out of the tips. One should keep an eye on the changing real estate industry dynamics that are changing only for good in 2022. Finding a balance between your budget and requirements remains the bottom line. An important takeaway that you can have is not to be impatient and ignorant in the process of choosing the right payment plan for your property purchase. 

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