ISLAMABAD: The Government of Pakistan has officially launched a major housing initiative under the Prime Minister’s “Apna Ghar” and “Apna Chhat Apna Ghar” schemes, aimed at providing affordable residential solutions to low-income groups.
Designed to alleviate the financial burden on the working class, the federal government is offering significant financial assistance through a mark-up subsidy, allowing citizens to secure loans of up to Rs 10 million for the purchase or construction of houses and flats.
Under the newly released policy, the facility applies to houses up to 10 marla or apartments up to 1500 square feet, with consumers benefiting from a fixed interest rate of only 5%. The government has set a flexible repayment period of up to 20 years, pledging a substantial mark-up subsidy for the first decade of the loan term. To assist applicants in financial planning, banks have clarified the instalment structure for a standard Rs 3 million loan: a 10-year term requires a monthly payment of Rs 19,799, a 15-year term is set at Rs 23,724, and a 20-year term carries an instalment of Rs 31,820.
A notable feature of this scheme is the absence of processing fees or penalties for borrowers who choose to repay their loans ahead of schedule. Major financial institutions, including Bank Alfalah, have begun processing these loans across the country. By aligning monthly instalments with average rental costs, the program seeks to transition citizens from tenants to homeowners, serving as a cornerstone for the development of the national housing sector and the provision of shelter for the underprivileged.
