The Legends Real Estate
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34 · The Legends capital allocation lab

Should your next dirham reduce debt or build an investment account?

Compare the same lump sum and monthly allocation across mortgage prepayment and an investment path—while protecting the cash reserve you refuse to spend.

01Mortgage today

Use the current outstanding balance and remaining contractual term.

02Capital to allocate

The protected reserve limits the lump sum used by the model.

03Investment assumption

Enter a planning return, not a promised return.

Advanced costs and tax allowance

Prepay

Mortgage balance reduction vs baseline

Mortgage balance reduction vs baselineAED 447,422
Mortgage interest avoidedAED 67,422
Modeled prepayment chargesAED 3,800
Mortgage balance after prepaymentAED 787,296
Mortgage balance without prepaymentAED 1,234,718
Mortgage payoff within horizonNot repaid in this horizon

Reserve control

Capital to allocate

Lump sum usedAED 200,000
Capital held backAED 0
Cash after lump sum and immediate chargeAED 298,000
Reserve gapAED 0

Return sensitivity

One allocation. Three return outcomes.

Cautious return4%
Net annual return after fee
3%
Capital contributed
AED 380,000
Gain before entered tax
AED 45,598
Ending investment value
AED 425,598
Leading path
Prepay
Entered return7%
Net annual return after fee
6%
Capital contributed
AED 380,000
Gain before entered tax
AED 96,102
Ending investment value
AED 476,102
Leading path
Invest
Stronger return10%
Net annual return after fee
9%
Capital contributed
AED 380,000
Gain before entered tax
AED 151,923
Ending investment value
AED 531,923
Leading path
Invest

Saved only on this device. No bank statement, portfolio record or personal financial document is uploaded.

Human checkpoint

Put liquidity, financing and investment risk in one review.

The Legends can connect the property and transaction plan. A licensed lender and qualified financial or tax adviser must confirm product terms, suitability and tax treatment.

Illustrative planning only—not a bank offer, investment recommendation, tax opinion or financial advice. Investment returns can be negative and are not guaranteed. Mortgage terms, prepayment charges, fees, taxes, liquidity needs and suitability vary. The model does not include market volatility, sequence risk, currency risk, product-specific costs or the value of optional liquidity unless you enter an allowance.