Interest Rate

Secure up to AED 25 million with RAKBANK’s Commercial Real Estate Loan, featuring flexible terms and up to 75% Loan-to-Value for business property financing. Apply now to expand your business.

Commercial Mortgage Loan for Business Real Estate in UAE | RAKBANK UAE

Real Estate Finance

Time to buy or finance your own property



Up to AED 25 million

Up to AED 25 M

Real Estate Finance - Packed with more options

You can also benefit from Trade Finance or Working Capital products against the mortgaged property.

Packed with more options

6 months turnover >=AED 2 M

Real Estate Finance - Wrapper - Feature card

Fees for non-compliance term(s) of signed agreement

FIGP - Fees for non-compliance term(s) 

00_Banner_Real_Estate Finance.jpg

Expand your business with RAKBANK's Point of Sales and E-commerce Finance. Get financing based on your point-of-sale transactions and take your retail business to the next level in the UAE.

Business Loan Against POS and E-commerce Receivables Retailers | RAKBANK UAE

Point of Sales & E-Commerce Finance

Point of Sales & e-commerce Finance

Minimum loan AED 500K

Account

<ul>
<li>Age of the owner / signatory / management personnel must be a minimum of 21 years and maximum 70 years for UAE Nationals and 65 years for expats at loan maturity</li>
</ul>
Other Requirements:
<ul>
<li>Valid trade licence</li>
<li>Business documents such as Memorandum of Articles or Power of Attorney (if applicable)</li>
<li>Banking or lending assessment information / document (if applicable)</li>
<li>Capacity to meet the Bank&rsquo;s lending criteria</li>
</ul>

Other Requirements

<div class="epi-form-container__section__label-container">
<div class="epi-form-container__section__label-container">CREL means Commercial Real Estate Loans</div>
<div class="epi-form-container__section__label-container">
*AECB: Al Etihad Credit Bureau
**EIRC: Emirates Integrated Registries Company
***Of the average outstanding each month or AED 1,000,000, whichever is lower, for each key person
****And / or increase in interest rate by 1% p.a.
&nbsp;
FIGP means Fixed Income Growth Portfolio
*AECB: Al Etihad Credit Bureau
**EIRC: Emirates Integrated Registries Company
***Of the average outstanding each month or AED 1,000,000, whichever is lower, for each key person
Interest:
<ul>
<li style="font-weight: 400;" aria-level="1">&nbsp;Interest rate for the Loan ranges from 5% to 9% reducing per</li>
</ul>
annum depending on customer profile and business merit.
The interest rate will be linked to the Bank internal rate &ndash; SME
Prime Rate or to EIBOR (Emirates Interbank Offered Rate).
<ul>
<li style="font-weight: 400;" aria-level="1">The SME Prime Rate is currently 15.50% p.a. effective 01</li>
</ul>
May 2023 (previously 15% p.a.) and is subject to change from
time to time.&nbsp;
<ul>
<li style="font-weight: 400;" aria-level="1">The net interest rate, as offered for each Loan, will however be determined basis the company profile, as assessed.</li>
</ul>
For more information on how the rates are calculated, please check the key fact statement below.
Other fees:&nbsp;
<ul>
<li style="font-weight: 400;" aria-level="1">Property evaluation fee will be as quoted, on a case-to-case basis, by the bank-appointed third-party evaluator</li>
<li style="font-weight: 400;" aria-level="1">Mortgage fee and other charges at the land department: mortgage over the property to be created up to the loan amount or higher and the charges for mortgage and other land department charges to be borne by the client</li>
<li style="font-weight: 400;" aria-level="1">Property insurance fee: Property insurance assignment to be provided by the client up to the approved loan amount</li>
</ul>
</div>
</div>

Fees

Buyout from other banks

Real Estate Loan - Hero Item

Up to 75% loan to value

<ul>
<li>An approval for the Loan once sanctioned is only valid for 30 days from the date of approval, and the Loan disbursal must be completed before that; failing which re-approvals need to be sought internally.</li>
<li>If you pay off the Loan prior to the due date, you will pay prepayment charges at the rates described</li>
<li>If you are late in payment or fail to make a payment on the due date, a late payment interest at the rates described</li>
<li>If you fail to make a payment or otherwise breach the Loan terms, this will be a default and the Bank will be entitled, among other things, to:</li>
</ul>
(a) charges for non-compliance to loan sanction terms;
(b) cancel the Loan and demand full repayment immediately;
(c) report the default to the appropriate regulatory authorities including credit rating agencies, which will affect your credit rating;
(d) bring legal proceedings against you.

Warnings

business-1.png

EIRC** fee at loan disbursal (per security document)

CREL - EIRC** 

Segment - Business

Real Estate Finance - Divider Title Feature Card

Loan Features

Business entities operating in the UAE and looking to acquire a loan to purchase ready-to-use property, construct property for commercial purposes, take over commercial real estate loans from other banks, or require additional finance for working capital, can now apply for our Real Estate Loan.

Expand, grow, excel

Floating Rate

Get a collateral-free business loan with RAKBANK UAE, offering up to AED 3 million and flexible repayment options of up to 60 months. Support your business expansion with ease. Apply now!

Business Loan in UAE - Get up to AED 3 Million With Flexible Repayments | RAKBANK UAE

Business Loan

Expand your business with a flexible, collateral-free loan

In Page Floating Menu

Processing fee - One-time payment (% of approved loan / finance amount)

CREL - Fees Item 1

Length of Business: 1 year

Real Estate Finance - Would you like more?

Would you like more?

CREL -AECB* 

Terms and Conditions

Real Estate Finance - We’re here to help

CREL -Late payment interest:

Real Estate Finance - Cross Sell

Real Estate Finance - feature card container

<ul>
<li style="font-weight: 400;" aria-level="1">Customer contribution, if any, as per the Loan / Finance agreement, is to be deposited in their RAKBANK Account.</li>
<li style="font-weight: 400;" aria-level="1">Once the Loan is disbursed, a consolidated Manager;s Cheque will be issued as per the Loan / Finance agreement if the purpose of the Loan is for purchasing a property or takeover of a loan from an alternate financier.</li>
<li style="font-weight: 400;" aria-level="1">The last EMI amount may vary depending on the moratorium period, changes in the floating rate indices, and repayment delays.</li>
<li style="font-weight: 400;" aria-level="1">Loan tenure may vary post sanction depending on EMI deferrals sought from the Bank, EMI date change requests, repayment delays and pricing variation, if any.</li>
<li style="font-weight: 400;" aria-level="1">If you fail to make any payment due under the Loan or otherwise breach our terms, we reserve the right to repossess the asset, if applicable, and liquidate / sell the same to settle the outstanding amount.</li>
<li style="font-weight: 400;" aria-level="1">The Bank may reject requests for instalment deferral if payments are irregular or if there are 4 cheque / Direct Debit System (DDS) returns in the last 12 months or if the request does not meet the Bank's internal risk policy requirements.</li>
</ul>

Risks & Limitations 

FIGP

CREL -Fees for non-compliance term(s) of signed agreement

Real Estate Finance - Up to 75% Loan to Value

Benefit from up to 75% Loan to Value (LTV) based on the type, location and age of the property you're interested in. Whether you're looking to expand your real estate portfolio or simply take advantage of a great investment opportunity, our Real Estate Loan is designed to help you achieve your goals. 

Up to 75% Loan to Value

Eligibility & Fees   

Secure your loan today

Divider title with apply now - You’re a few minutes 

You can apply for this product using <a href="https://rakbankonline.ae/Digital/AuthenticationController?FORMSGROUP_ID__=AuthenticationFG&amp;__START_TRAN_FLAG__=Y&amp;__FG_BUTTONS__=LOAD&amp;ACTION.LOAD=Y&amp;AuthenticationFG.LOGIN_FLAG=1&amp;BANK_ID=RAK&amp;USER_TYPE=1" target="_blank" rel="noopener">RAKBANK Digital Banking</a>. Here are the steps: 1.Go to&nbsp;<a href="http://www.rakbank.ae/" target="_blank" rel="noopener" data-saferedirecturl="https://www.google.com/url?q=http://www.rakbank.ae&amp;source=gmail&amp;ust=1687508562826000&amp;usg=AOvVaw02TXDJiNUympHIWw84JK-0">www.rakbank.ae</a> 2.Select the &ldquo;Business&rdquo; from Digital Banking login type 3.Login using your Username &amp; Password 4.Click on "Discover &amp; Apply" 5.Select the desired product

Business - Apply through Digital Banking

Log in to RAKBANK Digital Banking and apply instantly

Apply through Digital Banking

<ul>
<li>Customer to open account for availing the finance;</li>
<li>Use of the Account will be governed by the Terms and Conditions Governing Business Accounts and / or Terms and Conditions Governing Personal Accounts&nbsp; available on the website: www.rakbank.ae;</li>
<li>Pay all instalments and other amounts due on the due dates without delay; Review the Key Fact Statement document and all other terms and conditions set out in the facility documents / application form in detail;</li>
<li>Regularly check our website (www.rakbank.ae) for updates;</li>
<li>Notify the Bank in writing if there is a change in income details, contact details, postal or location address, financial details, change in business activity or any other material information as declared in the facility documents / application form or otherwise conveyed to the Bank;</li>
<li>Notify the Bank in writing prior to making any changes regarding the Borrower (for example: ownership or management - if Borrower is a Company, changes in nationality of the Borrower - if Borrower is an individual, etc.) as was declared during the application process and seek consent; and</li>
<li>Notify the Bank in writing if you wish to prepay your Loan prior to its maturity.</li>
</ul>

Customer Obligations

Flexible repayment

FIGP - AECB* fee at loan disbursal

Term loan is offered based on an evaluation of the company&rsquo;s size, business model and repayment capabilities.

Eligibility

Real Estate Finance - Up to AED 25M

With financing available from AED 300,000 up to AED 25 million, you'll have the support you need to make your business dreams a reality. Whether you're looking to cover more ground or purchase new properties, our Real Estate Loan is designed to help you achieve your business goals.

Real Estate Loan - Hero Banner

Real Estate Finance - Flexible repayment

Don’t let the unexpected derail your plans. Benefit from flexible repayment options, including a maximum tenure of up to 120 months and the ability to repay your loan in monthly or quarterly instalments. With these options, you can manage your finances more effectively and ensure that you have the resources you need to keep your business running smoothly.

Learn More

Real Estate Finance - Loan Shield protected

With our Loan Shield facility, you can have peace of mind knowing that your business is protected in the event of the unexpected. In the case of death of a borrower during the coverage period, a Loan Shield will indemnify the outstanding loan amount. 
 
This means that your business won't have to worry about the burden of repaying the loan during such a difficult time. Protect your business and its financial future with our Business Loan Shield.

Loan Shield protected

Partial or early settlement fee (% of the outstanding loan amount)

FIGP - Partial or early settlement fee 

FIGP - Late payment interest 

Apply Online - Business finance

Take your business further through our easy Business Finance Solutions

Apply online

Loan to finance commercial / residential properties

Partial or early settlement fee (% of the outstanding loan amount

CREL - Partial or early settlement fee (% of the outstanding loan amount

Hero-1920x1080.jpg

Collateral free loan

CREL

Processing fee - One-time payment (% of approved loan/finance amount)

FIGP - Processing fee - one-time payment

Loan Shield Life Insurance premium rate per month

FIGP - Loan Shield 

Interest rate: 7% to 9%

Not sure about something? Check our frequently asked questions to find what you’re looking for.

FAQ’s Help Card

FAQs

Real Estate Finance - Help Card

FIGP -EIRC** fee at loan disbursal 

Max loan tenure 10 years

Benefits

Terms and Conditions Notification

Important Information

Loan Shield life insurance premium rate per month

CREL - Loan Shield 

Key Fact Statement – Real Estate Finance

Key Fact Statement

Key Fact Statement – Financing against Income Generating Property

Key Fact Statement Business FIGP

Loan shield policy

Real Estate Finance - Relevant Links

<ul>
<li>The Bank may amend the features, fees, charges, terms and conditions of the Loan with 60 days notice to you in advance. </li>
<li>The Bank may amend the interest rates for the Loan with 30 days notice to you in advance. </li>
</ul>

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Download the RAKBANK Business app!

Simplify your banking experience with our feature-rich app. From payments to payroll, our comprehensive Banking Solutions provide everything you need to manage your business finances from one secure and easy-to-use platform.

Loan Features

Expand, grow, excel

Eligibility & Fees

Secure your loan today

Would you like more?

Relevant links

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