RAK Properties, Ras Al Khaimah’s leading property developer listed on the Abu Dhabi Securities Market, has signed a mortgage deal with United Arab Bank (UAB) for its key properties.

The tie-up comes at a time when most local banks are looking at Northern Emirates as an ideal market for offering mortgages because many leading flagship projects are at completion stages.

Mohamed Sultan Al Qadi, managing director and CEO of RAK Properties said: “UAB’s firm commitment to retail banking and home finance sector encouraged us to enter into this partnership which will ultimately benefit our end-user because of the reasonable interest rates.'

'We are pleased to say that UAB has designed an attracting home finance scheme for RAK Properties’ wide range of customers.”

UAB launched its mortgage product in November 2010 and since then the bank emerged as one of the leading banks in the market in terms of mortgage bookings,' he noted.

Paul Trowbridge, UAB’s chief executive officer, said: 'Our predominant focus through this MoU is to offer attractive mortgage solutions to UAE nationals and expatriates who are customers of RAK Properties.'

'Some of the key highlights of the mortgage proposition include a most competitive interest rate of 3.99 per cent, conventional and Sharia’h compliant financing solutions and loan amounts up to 85 per cent of the current property value.'

Tom Smith, UAB’s executive VP, Group Head – Retail Banking said, 'RAK Properties is renowned for its commitment towards innovation and quality. It is a matter of pride to provide affordable home finance to customers of the real estate projects developed by RAK Properties”.

Al Qadi said the handover of its flagship projects provides UAB with an excellent opportunity to offer the company’s customers timely mortgage solution at the handover stage when customers are looking for a banking partner to assist them in taking possession of their dream home.

RAK Properties has announced earlier this year the commencement of the handover of RAK Tower at Marina Square on Al Reem Island in Abu Dhabi as well as 213 prestigious beach front villas at the Precinct Five of Mina Al Arab.

Smith pointed out that UAB had extended mortgage facility on completed properties across all emirates.

'Being a 36 year old local bank, we understand the UAE market better and see potential mortgage opportunities across Ras Al Khaimah. This is aligned with the bank’s overall strategy to offer customers an attractive value proposition,' he added.-TradeArabia News Service