Payment plans are usually interest-free but need big payments over a few years. A mortgage costs interest but spreads payments over up to 25 years.
Example: AED 600,000 still due at handover.
- 3-year post-handover plan: about AED 16,700 a month, no interest
- Handover mortgage, 25 years at 4.2%: about AED 3,230 a month
Also check the price: homes sold on long payment plans can cost more than similar ready homes. Many buyers use the plan during construction, then a mortgage at handover.
Related: Handover payment finance · Off-plan mortgages
