A mortgage consultancy serves as a personal or corporate broker, advising and assisting borrowers in securing optimal financing conditions from lenders and commercial banks for property acquisition. If you have expertise in this field, even if it was acquired away from the UAE, you might want to consider setting up your business in Dubai. With Dubai’s mortgage market continuing to grow significantly thanks to the rising numbers of residents, now is a good time to move.
This article discusses how to start a mortgage consultancy business in Dubai and explores these areas:
- Mortgage business in Dubai: overview
- How to start a mortgage consultancy business in Dubai: step-by-step
- Benefits of starting a mortgaging consultancy business in Dubai
- Start your mortgage consultancy business with Set Hub
Mortgage consultancy business in Dubai: Overview
Dubai’s mortgage market is thriving, particularly in off-plan property transactions and mortgage equity releases. This is due to several factors. First, rising rental rates are driving more residents to consider homeownership as a more cost-effective alternative. Second, there has been a significant influx of new residents drawn to the region to work in booming sectors like tech, finance and tourism. The population currently stands at around 3.7 million, driving property demand.
Dubai is also one of the most technologically advanced cities in the world, so tech, unsurprisingly, plays a big role in the current landscape. Many major banks are rolling out AI-powered systems to streamline mortgage application processes, open banking APIs enable seamless data sharing, and automated property valuation systems improve risk assessment. Consultants in Dubai can leverage these tools to offer more personalised financing options faster and more accurately in a competitive market.
It’s important to remember that Dubai operates a strict regulatory environment, so you must ensure you have the correct licensing and approvals in place and a good understanding of regulations before you launch your business. to operate. For instance, they must have passed a competency exam and ensure compliance with anti-money laundering regulations and data protection laws.
How to start a mortgage consultancy business in Dubai: Step-by-step
Starting a mortgage consultancy business in Dubai is a straightforward process, particularly if you choose to partner with a reputable business setup consultancy like Set Hub. We’ve broken down the process into five steps:
Step 1: Research the market
Thoroughly understanding the regulatory market is vital, as it may differ from what you are currently familiar with. We advise dedicated market research before initiating the application process to identify trends, competitors, and opportunities, thus maximising your business’s initial success.
Step 2: Choose a business structure
There are many business structures in Dubai, but most people operating mortgage business consultancies choose mainland and free zone structures. Both have their advantages. Free zone businesses offer significant tax incentives, including 0% income tax and capital gains. There are also dedicated zones for professionals, making it easier to network and meet potential clients and partners. Mainland businesses also offer significant financial benefits, with an option to consult directly with local businesses on the mainland.
Step 3: Apply for your professional licence
First, you will need to register your business. Choose a business name that accurately reflects your business and adheres to naming laws, otherwise it may be rejected. You will also need to obtain a professional license to legally operate in the UAE. The application process involves submitting a completed application form and selecting documents such as passport copies, business plans, visa copies and proof of trade name registration.
Step 4: Decide whether you need a physical office space
If you choose to set up a mainland business, the Department of Economic Development (DED) requires a registered office, even if you mostly operate online. Many free zones offer packages that include virtual or flexi-desk options, which might suit your business model better.
Step 5: Set up a bank account and market your services
Once you have the correct approvals and licenses in place, you can legally operate your business and begin the process of securing clients. You will need to open a corporate bank account.
Benefits of starting a mortgage consultancy in Dubai
There are dozens of reasons to start your mortgage consultancy in Dubai. Here are a handful of benefits you can enjoy:
High demand for mortgage consultancy services
Dubai’s real estate sector is growing rapidly thanks to population growth, which is driving demand for residential and commercial property. This, in turn, is creating demand for mortgage advisory services from both first-time buyers and seasoned investors looking for the best loan products. Rent prices are rising, too, further driving demand.
Multi-national high-income clients
Over 200 nationalities reside in the emirate, many of whom are affluent and high-net-worth individuals. These sorts of clients tend to invest in property rather than rent and may also be unfamiliar with the UAE banking system, opening up more opportunities for mortgage consultants. Mortgage consultants also have the opportunity to cater to a wide range of clients, from salaried professionals to international investors.
Strategic location between East and West
Dubai is conveniently located between Europe, Africa and Asia. The city is within a four-hour flight of around one-third of the world’s population and an eight-hour flight of nearly two-thirds of the population. Time differences are easier to manage, too, making it easier to schedule meetings with global clients outside of traditional working hours.
Unique business environment and supportive policies
Mortgage consultancy business owners in Dubai can enjoy 100% foreign ownership and bottom-line-boosting tax advantages like 0% personal income tax and capital gains. The government has also made it easier for businesses to set up and operate within the UAE, with simplified business setup and visa and work permit processes.
Access to leading technological advancements
Dubai is a leader in fintech and proptech, backed by strong government support. Your mortgage consultancy could benefit from integrating platforms with AI, open banking APIs and other developments to improve client acquisition and retention. Used properly, the latest tech makes it easier for new companies to offer a premium service without extortionate upfront capital.
Start your mortgage consultancy with Set Hub
Set Hub specialises in helping entrepreneurs and companies establish their businesses in Dubai with confidence. As a leading business setup consultancy in Dubai with over 25,000 clients under our belt, our expertise spans everything from securing business licenses to finding the right office space.
We know that no two businesses are alike, so we pride ourselves in a flexible, responsive approach tailored to your unique needs. Thinking of launching a mortgage consultancy business in Dubai? Reach out today to find out how Set Hub can help.
