RAKBANK cuts mortgage rates to 3.99% — zero processing fees for salaried buyers

RAKBANK has joined the sub-4% club. Effective 8 April 2026, salaried buyers can access fixed rates from 3.99% with zero processing fees — one of the cleanest cost structures available right now. Self-employed terms differ.

What changed

The April rate revision applies as follows:

• New fixed rate from 3.99% — in line with the most competitive offers in the market.
• Zero processing fees for all salaried cases.
• 0.50% processing fee on HIO (Home Investor Option), standard mortgages, and Islamic loans for self-employed customers.
• For refinance / equity release cases under fixed-rate options, the 0.50% processing fee applies only to the equity-release portion — not the buyout component.
• 1% + VAT processing fee on all Alternate Income (Low-Doc) programme loans.
• Buyout transactions remain at 0% processing fees, except for Alternate Income cases.

Who this affects

For salaried buyers, this is one of the clearest-priced products on the market right now — 3.99% headline, zero fees, no asterisks. Direct comparison with ADIB’s 3.99% buyout product comes down to: are you buying or switching? RAKBANK applies broadly, ADIB is buyout-specific.

For self-employed applicants, the 0.50% fee on standard mortgages adds AED 10,000 on a AED 2M loan — not insignificant, but the headline rate may still beat alternatives.

The Alternate Income (Low-Doc) programme — aimed at applicants with non-traditional income documentation — carries the 1% + VAT fee. That is meaningful and should be factored into total switching cost.

What to do next

If you are a salaried buyer comparing offers, RAKBANK and ADIB now sit at very similar headline pricing. The difference is in the small print: tenure, fees beyond processing, refinance flexibility, valuation policy. We can run a like-for-like comparison in 15 minutes.