Mortgage Finance for Special Segments

Lack of affordability is a key factor depriving low-income segment of population from full access to institutional housing finance to meet their housing needs. This is even a greater challenge for the segments of society with special conditions such as widows, children of Shaheed, transgender, special persons and persons in the areas severely affected by war against terrorism. In order to facilitate availability of long-term affordable funding for housing to these segments of society, Askari Bank has introduced a “Financing Facility for Low Cost Housing for Special Segments”. Salient features of the scheme are elaborated hereunder:

Particulars Details
Eligible Segments/Individuals
  • Special Persons holding CNIC with disability logo/symbol
  • Transgender, as per CNIC
  • Persons who desire to construct (including plot purchase) housing unit in the Mohmand, Bajaur, Orakzai, Kurram, Khyber, North Waziristan & South Waziristan districts of Khyber Pakhtunkhwa
  • Widows having verifiable income (including housewife, living with earning family member)
  • Children of Martyrs (Shaheed) of law & enforcement agencies, Armed Forces and Civilians martyred in terrorist attacks. Acceptable verifiable income & evidence of “Shahaadat” will be mandatory
Scope of Product
  • First time home owner
  • The borrower must not have availed housing financing previously from any Bank/DFI, including AKBL Staff House Building Finance
  • The loan shall be allowed for construction of new housing unit
  • Covered area of the housing unit/apartment in urban area shall not exceed 850 square feet
  • The financing for plot to be purchased for construction of house shall be allowed upto a maximum of Rs. 1,000,000/- only
  • The borrower shall not rent out the mortgaged house till the completion of 5 years (60 installments) and not allowed to sell the same till the date of final adjustment of financed amount
Loan Amount Minimum: Rs. 500,000/-
Maximum: Rs. 2,700,000/-
Maximum Property Value Maximum Forced Sale Value (FSV) of the housing unit will be upto Rs.3,000,000/- including plot value). Maximum covered area of the housing unit/apartment in urban area shall be upto 850 square feet
Minimum Net Monthly Salary/Income Rs. 35,000/-
Maximum Net Monthly Salary/Income Rs.100,000/-
(The individuals with higher income shall not be eligible under this scheme)
Loan Tenor Minimum: 3 years
Maximum: 12 1/2 years (inclusive of grace period)
Maximum Grace Period 06 Months
(Repayment of loan shall start after grace period)
Age of Borrower Minimum age: 21 years
Maximum age: 60 years at the time of loan maturity (salaried)
Maximum age: 65 years at the time of loan maturity (other than salaried)
Mark-up Rate Fixed mark-up rate will be charged to the borrower @ 5% per annum

In case of default, bank will charge normal mark-up rate (shelf rate) against the default period, as applicable for normal customers
Validity of Scheme The financing is available till December 31, 2023
Equity Requirement Minimum 20% of Forced Sale Value of the Mortgaged Property/Construction Cost, evaluated by the approved valuator of PBA
Types of Mortgage Finance The loan shall be allowed for:

  • Construction of House/Residential Unit
  • Purchase of plot plus construction
Documents Required
  • Application Form duly filled in all respect
  • Copy of valid CNIC
  • Latest salary slip/copy of Pension Book
  • Evidence of eligibility (widow, transgender, Shaheed etc.)
  • Recent bank statement (1year for SEB/SEP & 6 months for others)
  • Undertaking (HF-4) duly signed by Borrower/Co-Borrower on
    Non-judicial stamp paper (as per value prevailing in the Province)
  • Valuation/BOQ/Legal Opinion/Income Estimation
  • Any other document deemed necessary by the bank