Abu Dhabi, 17 July 2023: Abu Dhabi Islamic Bank (ADIB), a leading Islamic financial institution, announced the launch of its new product, 'Istiqrar', the UAE's first long-term, fixed-rate home finance. This unique product offers customers a consistent, fixed monthly installment throughout the chosen tenor rate, eliminating any variations or fluctuations.
In line with the bank's commitment to enhancing the daily lives of its customers, the new offering provides customers with more property financing options amid a high-rate environment. Fixed term schemes, unlike floating-rate home finances, offer stability and predictability for customers when managing their budgets. With rates starting as low as 4.89% for 5 years with the possibility of the tenor to reach 20 years, homeowners can have peace of mind knowing that their installments will remain unchanged.
Amit Malhotra, Global Head of Retail Banking, Abu Dhabi Islamic Bank, added: "Istiqrar is an important milestone not just for ADIB, but for the UAE as a whole. Given the uncertain rate environment, we observed an increasing demand from our customers for a fixed-rate home finance option. Istiqrar has been introduced to help in their financial planning and optimise their household budget. Our aim is to continue leveraging customer insights to introduce new offerings that support our customers' goals of home ownership."
The carefully designed fixed-rate tenor offered by the bank guarantees homebuyers a worry-free experience, free from any large final payment or unexpected changes in installments. At the end of the loan term, customers won't encounter any sudden financial burdens. Moreover, our loan structure ensures that their Debt Burden Ratio (DBR) remains unaffected, enabling them to comfortably manage their finances.
Home finance is a long term financial commitment, and the decision between a fixed-term or floating-rate scheme is crucial for homebuyers. Customers can learn more about how they can secure a fixed-term home finance by visiting or calling an ADIB branch.