The federal government has launched a new subsidized housing finance scheme, “My Home My Asia”, which has targeted Pakistan’s middle and low -income groups to make home ownership more accessible while hike in property prices.
The State Bank of Pakistan has been described in a circular issued by commercial banks, housing building finance corporation, and microfinance banks, the scheme is designed to tackle the crisis of affirming the country’s deep residential houses.
In the last five years, property prices have been sold at an abnormal level, even minor houses in Karachi at least RS. 10 million. At this rise, the investment of the unpredictable speculation and the arrival of black money, has removed domestic ownership from most Pakistanis, especially in the middle and leaves of the leaves.
Despite the growing crisis, the securities governments have avoided largely interference to overcome property prices, which can allow the market to become spiral. The purpose of this new move is to end the trend that RS. 3.5 million for the purchase or construction of cheap houses.
Under the “My Home – My Asia” scheme, eligible applicants can get financial support for buying a house, building a house on an existing plot, or buying a plot after construction. The scheme is limited to five marls or flats and apartments houses, which is measuring 1,360 square feet (about 120 120 square yards).
Financing is divided into two Tigers: Tire -1 covers loans. 2 million, while the tire supports loans between Rs 2. 2 million and Rs 3.5 million borrowers can choose the terms of payment up to 20 years, the government has subsidized the market for the first decade.
Interest rates will be transmitted to 3 % margin in addition to the one -year Karachi Interbor (KIBOR), but the participating banks have been barred from charging processing festival or pre -payment.
To qualify, the applicant should be the first time a domestic buyer, a Pakistani citizen, and should not own any property in his name. The debt price ratio has been fixed at 90:10, the government has taken 10 % of the risk of portfolio at the first lost base. Fixed pricing is fixed 5 % for tire 1 and 8 % for tire 2, which reduces the financial burden on low -income buyers.
The State Bank has directed all co -financial institutions to ensure clear communication of the scheme details and implement strong systems to avoid misuse. A procedure for markup and credit loss subsidy will be announced at the appropriate time.