HSBC offers unique mortgage plan with its dubizzle.com campaign

Mortgage loans are available for expatriates and nationals with loan terms of up to 25 years or until the age of 65.

If you're thinking about buying property, there are plenty of options out there to consider. In fact, several financial institutions have recently launched or extended their mortgage schemes.

But like any significant purchase, it's important to shop around, and each bank has its own stipulations and restrictions.

This week, HSBC kicked off its exclusive home-loan campaign with the popular consumer website dubizzle.com. Buyers with a deposit of between 20 per cent and 25 per cent will receive a mortgage rate of 6.75 per cent when purchasing a completed property. HSBC Premier customers who put down a 40 per cent deposit can benefit from a 0.5 per cent reduction in the interest rate, and Status clients receive a reduction of 0.25 per cent.

Meanwhile, as an added perk, customers who visit the property listings on dubizzle.com and apply for the loan through the online form will achieve a 50 per cent discount on processing fees and free home-content cover.

"Dubizzle is by far the highest-visited website in the UAE versus other real estate and classified websites," says James Pearson, the head of liabilities and equities at HSBC. "Having our presence and offer on the website will ensure that we are on top of customers' minds throughout their process of selecting a property as well as choosing a bank to finance it."

HSBC mortgages are available to expatriates and locals with loan terms of up to 25 years or until the age of 65.

Another mortgage scheme that's gaining traction is Abu Dhabi Finance's "Mamlakaty" plan, which has just been extended for the construction of new private villas in Abu Dhabi. Offered exclusively to Emiratis, this scheme provides up to 80 per cent of the building costs for villas under construction and mortgages of a similar value for completed projects.

Launched in May, Mamlakatay, which translates as "my kingdom", furnishes its clients with a low 5.75 per cent mortgage rate for up to 30 years.

Ali Eid Al Mehairi, the chairman of Abu Dhabi Finance, says the extension is a reflection of the strong demand and response to the programme.

"We continuously expand and diversify our product offering," he says. "All our mortgages, including our popular Essence mortgage, which is available to all UAE residents, benefit from the lowest interest rates in the market as well as unbeatable flexibility and service."

A third option to keep in mind is Barclays' fixed-rate mortgage, which has an interest rate of 5.99 per cent. The mortgage allows customers to freeze the rate for up to three years. Prospective buyers can borrow up to 75 per cent of the cost of the property.

Although it was originally meant to expire on December 2, Barclays has extended the scheme to January 1.