Abu Dhabi's Off-Plan Market Enters a New Era of Mortgage Financing

Abu Dhabi's off-plan property market has taken another step forward. Aldar, Abu Dhabi Commercial Bank (ADCB) and the Abu Dhabi Real Estate Centre (ADREC) have completed the emirate's first off-plan mortgage transaction under ADREC's newly launched regulatory framework.

The milestone matters to buyers because eligible customers can now arrange mortgage financing against an off-plan property before handover, rather than waiting until the unit is complete.

The framework changes when a bank can be registered, not just when it can lend

The mechanism sits at the registration stage. Under the ADREC framework, the financing bank can be formally named on the mortgage registration certificate before the property is handed over, with the interest recorded in the Initial Real Estate Register.

A customer who has paid 50% of the purchase price can arrange a mortgage against their off-plan unit, with the bank funding the remaining instalments during construction and the final payment at handover.

For buyers, this can offer:

Certainty over financing terms at an earlier stage

Preserved liquidity through the construction period

No requirement to arrange a mortgage at completion

A wider choice of lenders, rates and terms

For banks, it creates a formal registered interest in the property before completion — which is what makes the framework workable at scale rather than case by case.

Aldar completed the first registration, with ADCB acting as mortgage provider. Off-plan financing is now available to Aldar customers who have paid 50% or more of the property value at eligible projects. Through Home Finance by Aldar, an in-house advisory service offered without a fee, customers can access mortgage options from more than six participating conventional and Islamic banks, including ADCB, Abu Dhabi Islamic Bank, Dubai Islamic Bank, Emirates NBD, Emirates Islamic and First Abu Dhabi Bank.

Modon and ADIB moved first on financing — Aldar and ADCB moved first on registration

These are two different milestones, and the distinction is worth keeping straight.

On 7 July 2026, Modon signed a Memorandum of Understanding with Abu Dhabi Islamic Bank to introduce what both parties described as Abu Dhabi's first off-plan home financing solution. Eligible buyers can access up to 75% financing, with a structure requiring 15% during construction and a further 5–10% at handover, subject to ADIB's eligibility assessment. That solution applies exclusively to future Modon developments.

The Aldar–ADCB transaction is a different kind of first: the first completed mortgage registration under ADREC's framework, which is open market-wide to any participating institution that meets the requirements.

Different structures, different eligibility, same direction of travel. Financing is becoming a central part of how off-plan property is bought in Abu Dhabi.

Buyers now have a decision to make earlier in the process

Traditionally, off-plan buyers planned cash flow around the developer's payment plan and arranged a mortgage closer to completion. Financing available during construction gives eligible buyers a second route.

The purchase stops being a fixed series of instalments and becomes something a buyer can structure. That will matter most to investors and end-users who want to keep capital free while holding exposure to the market.

Buyers should confirm the applicable loan-to-value limit for their specific purchase directly with their lender, as off-plan financing terms remain subject to UAE Central Bank mortgage regulations and individual bank eligibility criteria.

The regulator, not the developer, is the real story here

The significance of the Aldar–ADCB transaction goes beyond one developer or one bank. ADREC has built a registration route that any qualifying lender can use, which is what turns a single transaction into a market function.

With Aldar and Modon both working with major banks on financing structures, buyers have more funding options than they did a year ago.

For anyone considering an off-plan property in Abu Dhabi, understanding the financing route is now as important as choosing the project, the location and the payment plan.