Ras Al Khaimah, Oct. 24th, 2011 (WAM) -- RAK Properties PJSC, and United Arab Bank P.J.S.C. (UAB) have signed an MoU for enabling finance for properties developed by RAK 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: "UABs 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. Paul Trowbridge, UABs Chief Executive Officer, commented: "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%, conventional & Shariah compliant financing solutions and loan amounts up to 85% of the current property value."He also added: "Ras Al Khaimah is a key market for the bank and there have been significant efforts made to increase our footprint in terms of branch network expansion as well as strategic tie-ups."Tom Smith, UABs Executive Vice President, Group Head Retail Banking added: "RAK Properties is renowned for its commitment towards innovation and quality. It is a matter of pride to work with UAB to provide affordable home finance to customers of the real estate projects developed by RAK Properties". Al Qadi added: "The handover of RAK Properties flagship projects provides UAB with an excellent opportunity to offer the companys customers an exclusive and 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 two hundred and thirteen prestigious beach front villas at the Precinct Five of Mina Al Arab. Current property prices and a lower interest rate environment now make taking a mortgage more affordable. In addition, the last few years the market changed from being investor-driven to an end-user market and customers now have a long term commitment to the Region. Tom Smith stated: "We are confident this rate will encourage more customers to realize their dream of owning a property through RAK Properties which is renowned of its high commitment to quality. In addition we believe this will energize the property market and accelerate its revival."He also added: "UAB extends 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 banks overall strategy to offer customers an attractive value proposition."Tom Smith concluded: "Existing and new owners can opt for the credit facilities offered by UAB. Financial solutions are available to cover their entire or partial payment or even the final instalment."Copyright Emirates News Agency (WAM) 2011.
