A mortgage rate (or home loan interest rate) is the percentage charged by a bank or lender on the outstanding principal amount of a home loan. In Dubai, as elsewhere, the rate determines how much you pay in interest on top of the money you borrow.

When someone refers to mortgage rates in Dubai, they typically mean the annual interest rate (per annum) that will apply to a home loan in Dubai. This rate may be fixed for a period or variable (i.e., adjusted periodically). The rate, plus the loan structure, determines your monthly payments, total cost, and risk profile.