Steps to obtain an apartment through real estate financing

Conditions required to obtain a residential apartment through the Real Estate Finance Initiative, the client wishing to buy an apartment opens an account within the Housing and Development Bank.

Conditions required to obtain a residential apartment 

•   The amount of real estate financing reaches 80%.
• The term of real estate financing is from 10 to 30 years.
• The borrower receives a free life insurance policy for the duration of the loan.
• The client obtains a free insurance policy for the unit to be financed against risks.
•  The stability of the interest rate according to the Central Bank’s initiative with interest rates of 3% and 8%.
• The customer is allowed to pay the value of residential apartments in installments over 30 years.

Apartments to which real estate financing applies

1. The unit must be fully finished and ready for occupancy immediately.
2. The maximum unit price is about 2.5 million pounds.
3.  It must be for the purpose of permanent residence.
4. Allowing banks to accept alternative guarantees in the event that the unit cannot be registered.
5. The unit must be registered in the Real Estate Registry or be registrable and there are no financial or real estate violations.

Documents required to obtain an apartment through the Real Estate Finance Initiative:

•  Bring a scan of his national ID card.
• Obtaining a stipulated, stamped and approved letter from his employer.
•  Bring a bank statement for the last 6 months.
•  Extracting a request for a salary transfer or an irrevocable monthly installment.
•  Bring the original utility bill, such as “water, electricity, and modern gas.”

How to create an account in the Housing and Development Bank

•  The installment is transferred to the customer’s account at the bank on a quarterly basis.
• The account must be in the name of the customer wishing to purchase the residential unit.
• The customer deposits the reservation advance amount immediately after opening and activating the account.

Conditions required for a person to benefit from real estate financing in 2023

1. The applicant must be a resident of the governorate in which the residential unit applied for is in charge.
2. Priority will be given to workers or residents of the same governorate, with the exception of middle-income applicants.
3.  One family is not entitled to apply to reserve more than one housing unit in new cities and governorates in one advertisement.

The applicant did not obtain any previous housing unit in the new cities or governorates, whether it was in his possession or transferred to others or in partnership with others.

1. The applicant or the family must not have benefited from a cooperative loan or support from the National Housing Project or one of the public agencies that provide support to obtain a housing unit.
2. The applicant or his family, whether husband, wife, or minor children, must not have benefited from previous real estate financing initiatives issued by the Central Bank in February 2014 or on December 2019 and July 2021.
3. The applicant or his family does not own a home or inherit it by legal inheritance.
4. Whoever benefits from a social housing unit is obligated to use it as housing for himself and his family on a regular and permanent basis for a period of 7 years.
5. It is prohibited to dispose of units before 7 years have passed from the date of receipt or obtaining the approval of the Fund’s Board of Directors, and anyone who violates this shall be punished by imprisonment for a period of not less than one year, and a fine of not less than twenty thousand pounds.
6. The applicant acknowledges the validity of the data and documents submitted by him upon booking, and in the event of a violation, he will be held criminally and civilly liable.