List of Banks Providing Home Loans in Pakistan

banks providing home loans in Pakistan

Who does not want the luxury of having their own home?

It is the dream of most of us. Living in a rented house may become frustrating and annoying. Privacy and comfort are usually absent in rented spaces and oh… don’t forget the sky-high utility expenses. A place you can call home is indeed a blessing.

However, building a home in today’s era can be very difficult due to the increasing cost of raw materials, labour, and property tax. Before getting a loan for the home you exactly know about the plot size conversion. Once you know the exact size of your land then it is easy for you to get a loan with a proper plan.  Thankfully, some banks are providing home financing for Pakistani people.

All you have to do is pay a certain amount of money every month to the bank. This makes the whole construction process easier and more practical. A person belonging to the middle class and upper-middle-class can enjoy the perks of their very own home, all thanks to home financing.

We have outlined a very useful and thorough comparison among different banks so that you can see how the whole loan thing works.

Before starting off with the article, we would like to highlight that the costs and interest rates mentioned in the content are for Islamabad. The interest rates, terms, and conditions may differ in other cities.

Also, these figures are related to an average 5-marla house in Islamabad. The cost of construction is taken as Rs. 26 lac, and the payback period is 15 years.

 

houses for sale

 

You can change the cost of construction, income bracket and payback period according to your preference. The primary objective of this article is to educate people about the interest rates, processing fees and basic requirements of every bank.

If you want to know about the breakdown of construction costs of a 5-marla house, then do check out cost to construct 5 marla house where we have sketched all the costs associated with the grey structure of a 5 marla house for sale. There are many construction companies that provide high-quality construction services at an affordable price.

APR stands for annual percentage rate. It is the annual interest rate that the person has to pay the bank. Secondly, the repayable amount is the total amount (principal amount and interest amount) that the person has to pay back to the bank.

home loan banks in Pakistan

List of Banks Providing Home Loans in Pakistan

 

Bank Name Tenure
1. Alfalah Home Finance 3 years to 25 years.
2. Habib Bank Limited 5 years to 20 years.
3. Muslim Commercial Bank Maximum loan tenure is 25 years
4. Askari Bank Limited 3 years to 25 years.
5. United Bank Limited 3 years – 20 years
6. Bank Al Habib 1 year to 25 years.
7. JS Bank 1 year to 20 years.
8. Meezan Bank 3 years to 25 years.
9. Standard Chartered Bank 1 year 5 years
10. Summit Bank 1 year to 20 years
11. Bank Islami  2 years to 25 years.
12. Bank of Punjab 3 years to 25 years.
13. Al Baraka Bank  2 years to 25 years.
14. MCB Islamic Bank Ltd 1 year to 20 years. 
15. National Bank of Pakistan 3 years to 20 years.
16. Faysal Bank 1 year to 20 years
17. Dubai Islamic Bank 1 year to 20 years.
18. Allied Bank Limited 3 years to 25 years
19. Khushhali Microfinance Bank  1 year to 20 years.
20. Silk bank 1 year to 5 years

 1. Bank Alfalah

Alfalah Home Finance is giving home loans in Pakistan on easy terms and conditions. You can apply for a loan amount starting from Rs2 million to Rs. 50 million, payable in 36 to 240 monthly installments.

Requirements:

The minimum salary requirement for the filer is Rs. 70,000, and the age limit is 23-60 years. Documents required for loans include CNIC, salary slips, 12-month bank statement, and two years of employment under the current employer.

Website: Bank Alfalah

 2. HBL

Through ‘HBL Home Loan,’ you can apply for a loan amount starting Rs2 million to Rs. 15 million, payable in 60 to 240 monthly installments. HBL is also offering a loan calculator on their website that you can use to calculate the loan amount.

Requirements:

The minimum salary requirement for HBL is around Rs. 100,000. The person should be 22-60 years old. The documents required are CNIC, salary slips, 12-month bank statement, minimum 5-year experience, Pakistani nationality (Resident & nonresident Pakistani), and a letter from employer.

Website: HBL

 3. MCB

You can apply for a loan amount of up to Rs. 25 million, payable in 12 to 240 monthly installments.

Requirements:

The person should have a monthly salary of Rs. 50,000, and should be 21-60 years of age. The documents required include CNIC, salary slips, 12-month bank statement, and proof of Pakistani residency.

Website: MCB

 4. Askari Bank

Askari bank offers loan amounts starting from Rs. 500,000 to Rs20 million, payable in 36 to 300 monthly installments.

Requirements:

Just like MCB, the minimum salary requirement for Askari Bank is Rs. 50,000. The age limit is 22-60 years, and the documents needed for further processing include CNIC, salary slips, and 12-month bank statement.

Website: Askari Bank

 5. UBL

You can apply for a loan amount starting from Rs. 1 million, payable in 36 to 240 monthly installments.

Requirements:

To get the loan, the person should have a monthly income of Rs. 50,000. They should be 23-65 years old. The papers needed are CNIC, salary slips, 12-month bank statement, proof of Pakistani residency, and proof of 12 years of employment.

Website:  UBL

 6. Bank Al Habib

Like other banks, Bank Al Habib is also providing a loan starting from Rs. 300,000 to Rs. 20 million, payable in 240 monthly installments.

Requirements:

The minimum salary requirement is Rs. 60,000 and the age limit is 23-60 years. The things needed for the paperwork include CNIC, salary slips, and 12 monthly bank statement.

Website: Bank Al Habib

If you want to verify your driving license by sitting at home, read: the process of driving license online verification in Pakistan.

 7. JS Bank

JS Bank offers home loans ranging from Rs. 500,000 to Rs. 100 million, payable in 12 to 240 monthly installments.

Requirements:

For JS Bank, the salary bracket is a bit high. The minimum salary requirement is around Rs. 70,000. The person should be 21-60 years old and should have CNIC, salary slips, and 12-month bank statements with them.

Website: JS bank

 8. Meezan Bank

With Meezan Bank, you can apply for a loan amount starting from Rs. 500,000 to Rs. 50 million, payable in 24 to 240 monthly installments.

Requirements:

Meezan Bank gives loans to a person who has a monthly income of around Rs. 40,000. The age bracket is 25-65 years, and the papers required for further processing include salary slips, 12-month bank statement and 2-year employment proof. Get to know meezan home loans.

Website: Meezan Bank

 9. Standard Chartered

Saadiq Home Financing division of Standard Chartered is also giving loans. Like HBL, this bank is also providing an online loan calculator for its customers. You can apply for a loan amount starting from Rs3 million to Rs30 million, payable in 12 to 240 monthly instalments.

Requirements:

With Standard Chartered Bank, the financing is available for up to 75% of property value. The salary requirement and age requirements are Rs. 50,000 and 21-60 years, respectively. If you are interested in getting a loan from SC, then do bring your CNIC, salary slips, 12-month bank statement and a letter from your employer with you.

Website: Standard Chartered

 10. Summit Bank

Summit Bank allows its valued customers to apply for a loan amount starting from Rs. 300,000 to Rs. 100 million, payable in 12 to 240 monthly instalments.

Requirements:

The base pay for the Summit Bank is Rs. 80,000, and the age limit is 23-60 years. The documents needed for formal paperwork include CNIC, salary slips, 12-month bank statement, and letter from employer.

Website: Summit Bank

 11. Bank Islami

Bank Islami is also offering home financing, starting from Rs. 200,000 to Rs. 50 million, payable in 24 to 300 monthly instalments.

Requirements:

The minimum salary requirement is Rs. 51,000, and the age limit is 25-65 years. Bank Islami requires CNIC, salary slips, 12-month bank statement, 6-month employment proof, and last 6 months utility bills for documentation.

Website: Bank Islami

 12. Bank of Punjab

The BOP is also offering home financing from Rs10 million and above, payable in 240 monthly installments.

Requirements:

The person should be earning around Rs. 40,000. They should be 21-60 years old. They should also have CNIC, salary slips, bank statements and a copy of utility bills with them.

Website: Bank of Punjab

 13. Al-Baraka

Al-Baraka is giving out loans starting from Rs0.3 million to Rs. 35 million, payable in up to 240 monthly installments.

Requirements:

The minimum salary requirement is Rs. 50,000, and the person should be around 21-60 years of age. The documents required include CNIC, salary slips and bank statement.

Website: Al-Baraka

 14. MCB Islamic Bank Ltd

MCB, being one the leading banks of Pakistan is also giving a loan amount up to Rs. 30 million, payable in 24 to 240 monthly installments.

Requirements:

The minimum salary requirement is Rs. 60,000. Your age should be around 25-65 years. The documents needed are CNIC, salary slips, bank statement and minimum of five years in service.

Website: MCB Islamic Bank Ltd

loans for home

 15. NBP (National Bank of Pakistan)

National Bank of Pakistan also providing home loan to its valuable customers on easy terms and conditions. NBP home loan is providing best home loan rates in Pakistan because of its variable annual return policy.

Under the NBP Saibaan program, the bank is providing construction loans and purchase loans to its customers. The maximum amount that you can get is around Rs.35 million for a period of 3 to 20 years.

Requirements:

To avail the loan, the person should be at least 22 years old with a net income of around Rs.10, 000 (if he or she is a government employee) and Rs.15000 (if he or she is privately employed).

To apply for the loan, you need to have the following documents with you:

  • Two attested passport size photographs.
  • Two attested copies of your CNIC.
  • Two attested copies of CNIC of references.
  • Cheque for the processing charges.
  • Cheque in favor of legal counsel for a legal opinion.
  • Cheque in favor of Valuator for valuation report.
  • Cheque in favor of income Estimation Company for income estimation report, if applicable.
  • Property Documents: attested copy of title documents available.
  • Bill of quantity (BOQ) in the case of HC and LPC.

Website: National Bank of Pakistan

 16. Faysal Bank

The home loan program of Faysal Bank operates under the diminishing Musharakah principle. In this program, the bank and the customer purchase the asset jointly. The bank then rents out its share of units to the customer.

When all the units are being paid by the customer, the asset gets shifted in the name of the customer and he becomes the sole owner of that specific property.

Currently, the following types of loans are available:

  • Home purchase.
  • Home builder/ Plot + construction.
  • Home renovation.
  • Home re-finance (Transfer existing home finance facility).

To avail the loan, the person should be a citizen of Pakistan. The salaried person should have a net income of Rs.100, 000 and the age limit for the loan is between 21 to 60 years of age.

Requirements:

Following documents are required by the bank for the application process:

  • Copy of CNIC.
  • 2 passport size photographs.
  • Last six months’ salary slips.
  • Salary certificate / employment certificate (Designation, date of Joining, permanent – status, salary Breakup).
  • Last 12 months bank statement (Original).
  • Copy of complete property documents.

Website: Faysal Bank

 17. Dubai Islamic Bank

If you are looking for a home loan without interest in Pakistan, then consider this bank. Dubai Islamic bank is also providing home loans for its customers, that too without any Riba (a concept in Islamic banking that refers to charged interest). So, all those people who do not want to get involved with any kind of interest can opt for this bank as it provides loans up to Rs.75 million.

Musharakah agreement will occur between the customer and the bank. The bank will purchase the asset for the customer and then it will lease out that property to the customer. When the amount of the loan will be paid in full, the bank will shift the complete ownership to the customer.

Following types of home loans are being provided by the bank:

  • Home purchase.
  • Home renovation.
  • Purchase of undivided share of the property mortgaged by other banks (Balance transfer).
  • Construction finance.

Requirements:

  • Age: 25 to 60 years old.
  • Monthly income: Rs.40, 000 for salaried employees and Rs.50, 000 for self-employed.

Website: Dubai Islamic bank

Document required:

  • Copy of primary applicant’s CNIC
  • Copy of co-partners CNIC
  • 2 passport size photographs
  • Tax returns
  • Copy of utility bill
  • Professional degree (for self-employed professionals only)
  • Salary certificate/proof of profession
  • Latest salary slip
  • Bank statement of the last 12 months & bank certificate

 18. Allied Bank Limited

Allied Bank Limited is one of the most famous banks in Pakistan that is providing home loans on easy terms. If you are a Pakistani citizen within the age bracket of 25 to 57 years and have a net income of 50,000 per month then you are eligible for the home loan.

You can get Rs.40 million in loan and you can repay it within 3 to 25 years, depending upon your preference and budget.

However, unlike many banks, Allied bank requires you to have a prior relationship of around 6 months with a bank.

Following types of loans from the bank are available at the moment:

  • Home/apartment purchase
  • Home construction (Land already owned)
  • Home renovation
  • Buy land & construct home

Requirements:

  • Last six months’ bank statement (ABL / any other bank, as the case may be)
  • Copy of CNIC/ Smart NIC
  • Proof of income
  • Complete and duly signed “Application Form”

Website: Allied Bank Limited

 19. Khushhali Microfinance Bank Limited[ps2id id=’Khushhali-Microfinance-Bank’ target=”/]

Khushhali Microfinance Bank is providing home loans for renovation and repairs. If you are someone who wants to renovate their house and are looking for finances, consider this bank. Khushhali Bank is providing home loan up to Rs.1000, 000. Your tenure for the month is between 6 to 120 months.

Requirements:

  • Age: 25 -60 years (65 years for pensioners)
  • Annual income of applicant should be equal to or less than PKR 600,000 per year
  • Residing in the house/ ownership of the house (if the property has been given on rent) for at least 1 year
  • Salaried individuals must be working with the current employer for at least 2 years
  • 2 years of business experience
  • NADRA CNIC/ SNIC holder

Website: Khushhali Microfinance Bank

 20. Silk bank

Silk bank is also providing home loans to its customers on easy installments. It is considered to be one of the best banks for home loan in Pakistan.

An eligible person can get a loan amount up to Rs.2 million and the tenure to return the money is between one to 5 years. You do not have to give security on the loan as well.

Requirements:

  • Pakistani residents
  • Foreign nationals with an approved company guarantee
  • Salaried individuals
  • Age: 21-65 years
  • Income: minimum Rs.40,000 monthly

Website: Silk bank

Disclaimer:

All the content provided in this blog post is for educational purposes. The information provided in this article is should be considered for educational/ entertainment purposes only.

You get a loan for small businesses or startups as well. There are million business ideas out there, each catering to a different customer segment.

Pros of getting a home loan in Pakistan

  • First of all, getting a home loan means that you are getting ownership of a tangible asset. A home loan will ensure that you become the owner of a house where you can retire after a long tiresome day. 
  • Financing a home can be difficult. For most of us, paying in bulk for the construction of the house is nearly impossible. This is when the banks come to our rescue. They provide you with the capital you need to build your house and let you return the money at easy terms and conditions.
  • Very few people know that there are tax benefits attached to the repayments of home loans. The interest portion of the EMI paid for the year can be claimed as a deduction from your total income.
  • Home loans also allow you to save on rent. The amount that you were paying to stay in someone else’s home can now be used to finance your tangible asset. Also, a home loan can save you from the uncertainty that you face when you are living in a rented property.

Things you need to know before signing up for home loans

  • Unlike personal loans, home loans are long term. When you get a microfinance loan or a personal loan, you pay it off within 2 to 3 years. but when you sign up for home loans, keep in mind that it will take 10-20 years to return your loan. If you are ready for this kind of financial commitment, go for a home loan for sure.
  • When you purchase a home or build a house using the home loan, remember that you will not become the 100% owner of that property. You will only get full ownership of the property after making all the instalments.

If you will fail to make the required instalments, the bank has the authority to take legal action against you. In the worst of cases, can lead to you being evicted from the home and the bank taking possession.

Any action that you take upon the information on this website is strictly at your own risk. For more information on home loans, visit the bank’s website.

There are many online calculators like 1 trillion in crores conversion and home loan calculators in Pakistan. If you want to calculate and compare costs, then you can use Home Loan Calculator. 

Currently, no bank is providing interest-free loans in Pakistan. However, the banks that we have mentioned above are offering loans on easy terms. If you meet all their requirements, you can easily get a loan against property in Pakistan. Get to know swimming pool construction cost in Pakistan.

Browse these banks and their terms and then decide which bank is best for your home loan in Pakistan. Get to know best insurance company in Pakistan.

After building home people are more concerned about home safety. For that, try installing a home automation system that makes your home smart.

Are you someone who has already received a home loan from any bank? If yes, then do share your personal experiences related to bank loans. We would love to hear from you. Get to know factors affecting the real estate market.

Also Read:

About Narmeen Taimur

Comments

  1. Yahya butt says

    I want loan for home purchases I m private employ last 5 years but my monthly amount 18 thousand. Then what I do for loan.

  2. Sonam Gulzar says

    HI, This is Sonam Gulzar and i am government employee since last 5 years and my monthly income 25 thousand , so, how can i get home loan

    • Graana Blog says

      Hello! Thanks for getting in touch. Every bank comes with its terms and conditions. The government of Pakistan is providing a lot of loan options to people whose income is below 25 thousand. To know more about loans, we suggest you pay a visit to the desired bank and talk to one of their representatives. If you have any other queries, please contact us by sending us a message in the comment section.

    • Graana Blog says

      Please go through this blog piece for the pros and cons of investing in shopping malls: https://blog.graana.com/benefits-of-investing-in-shopping-mall/

      • Graana Blog says

        Hi. Thank you for getting in touch. To get a loan from any bank, visit the bank and talk to their representative. You will have to submit your details, financial records and business details to the bank.

    • Dilshad Hussain Dar says

      Hi
      I work in Dubai and in my salary Dh 5000 can I build a house with a loan from the new Pakistan Housing Scheme and what document will I need please thank you

      • Graana Blog says

        Hi. Thank you for getting in touch. In Pakistan, there are many investment opportunities for overseas Pakistanis. To know more about these investment ideas in Pakistan, submit your details to [email protected], and our real estate expert will get in touch with you.

  3. Hussain says

    Do bank allows to rent out the property we purchased through home loan if yes which bank offer this facilities as I have been looking to buy a flat which then I will rent out to someone and manage the things accordingly.

    • Graana Blog says

      Hello! Thanks for getting in touch. Every bank comes with its terms and conditions. To know more about loans and rental properties, we suggest you pay a visit to the desired back and talk to one of their representatives.

  4. Waseem Gulzar says

    Hello. i am a govt employee and want to get loan for a home or apartment in lahore. My salary is 32000 per month . can i avail the oportunity to get loan . how and what procedure ,documents are needed? will someone plz guide?

  5. Jamshaid Ahmed says

    Hello I am a self employ a get a loan for home construction please Kya required he btaden

    • Graana Blog says

      Hello. Thank you for getting in touch. Please go through this blog to understand the banking sector of Pakistan and how they deal with home loans. If you have any other queries, please contact us by sending us a message in the comment section.

    • Graana Blog says

      Hello! Thanks for getting in touch. Every bank comes with its terms and conditions. To know more about loans, we suggest you pay a visit to the desired bank and talk to one of their representatives. If you have any other queries, please contact us by sending us a message in the comment section.

    • Graana Blog says

      Hello! Thanks for getting in touch. Every bank comes with its terms and conditions. To know more about loans, we suggest you pay a visit to the desired back and talk to one of their representatives. If you have any other queries, please contact us by sending us a message in the comment section.

    • Graana Blog says

      Hello! Thanks for getting in touch. Every bank comes with its terms and conditions. To know more about loans, we suggest you pay a visit to the desired bank and talk to one of their representatives. If you have any other queries, please contact us by sending us a message in the comment section.

    • Graana Blog says

      Hello! Thanks for getting in touch. Every bank comes with its terms and conditions. To know more about loans, we suggest you pay a visit to the desired back and talk to one of their representatives. If you have any other queries, please contact us by sending us a message in the comment section.

    • Graana Blog says

      Hi. Thank you for getting in touch. Every bank comes with their own set of terms and conditions. To know more about loans on vehicles, we suggest you pay a visit to the desired bank and talk to one of their representatives. If you have any other queries, please contact us by sending us a message in the comment section.

    • ADIL says

      Hi ADIL is here. can I get the loan against property . I’m doing a job in Malaysia my hometown in Pakistan I want to start business in Pakistan. Which bank can give loan..

  6. Muhammad Tanveer Alam says

    Hi,

    I am working in Abu dhabi UAE.
    I want to mortgage my home as I need some cash to start my business. Is It possible to get the loan. Kindly provide the terms and conditions as well.

    Regards
    Tanveer

    • Graana Blog says

      Hi. Thank you for getting in touch. Every bank comes with their own set of terms and conditions for mortgages. To know more about mortgages in Pakistan, we suggest you pay a visit to the desired bank and talk to one of their representatives. If you have any other queries, please contact us by sending us a message in the comment section.

  7. Malik says

    I would like to get some info on home loans for overseas Pakistanis. I am interested to purchase a house and would like to know what are my options. Thank you

      • Graana Blog says

        Hello! Thank you for getting in touch. Kindly go through the blog and choose the bank best suited for your needs. If you have any other queries, leave a message in the comment section below, and we will get back to you as soon as possible.

  8. Dhiraj premjee says

    Hello I’m dhiraj premjee
    From Karachi Pakistani citizen
    I am leaving on rent last 6 years ago I want to buy my small but own home I am private employ in local company I get around Rd. 32,000/ monthly. Should I get the loan?

  9. Rizwana Bibi says

    Hello
    I am living in uk want to buy home in Pakistan is am eligible for this I want to have it from HBL round 50 lac please guide me

  10. Fahad Javed Khan says

    Salam sr mari salary 24698 Rs hy mine 2 year sy government mine houn kha muje 3.5 Million loan male sakta hy kha?

  11. Dilshad Hussain Dar says

    السلام علیکم میں دبئی میں کام کرتا ہوں اور میری سیلری پانچ ہزار درہم ہے کیا میں پاکستان ہاؤسنگ سکیم سے گھر بنانے کے لیے لون لے سکتا ہوں میری سروس 18 سال ہو گئی ہے مجھے کیا ڈاکومنٹس ضرورت پڑی گے پلیز رہنمائی فرمائیں شکریہ

  12. Asif ishaq says

    I’m from Azad Kashmir rawakot and I stay in Malaysia 15year. And I need Parsonal long. I’m waiting your email

    • Graana Blog says

      Hi. Thank you for reaching out. We have not done a comparison on the said topic but we are planning to do so. Stay tuned to read about related topics.

  13. Fahad says

    Hi, all I am from Multan. let me know about the banks and companies providing services about home loan and home insurance in Pakistan.

    • Graana Blog says

      Hi. Thank you for getting in touch. Kindly go through our blog to know all the essential things about banking sector. If you have any other query, leave a message in the comment section below. For real estate related news and updates, subscribe to Graana blog.

  14. Nasir says

    Which Pakistani Banks are giving loan for plot construction at PHASE VII-EXT., D.H.A, KARACHI where dha transfer is available and lease is not given to plot holders.

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