New financing schemes for homes announced in Bahrain

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Bahrain - New financing schemes for government housing were announced yesterday and they include raising the loan ceiling to a maximum of BD70,000 while also increasing the age of beneficiaries from the current 35 to 40.

Submission of new requests for government housing commenced yesterday as part of the new financing programme, which also includes the option of raising the deduction ceiling to up to 35 per cent of the salary.

Around 500 more citizens are set to benefit this year from additional options added to the Mazaya Financing Scheme, it has emerged.

Details of the progamme – Tas’heel – were announced yesterday by the Housing and Urban Planning Ministry and Eskan Bank during a conference held at the Isa Cultural Centre, Juffair.

According to Housing and Urban Planning Minister Amna Al Romaihi, the initiatives aim to formulate innovative solutions in partnership with the private sector to accelerate the pace of achievement.

“We have achieved significant strides in the field through initiatives carried out in collaboration with the private sector over the past years,” she said.

“There are three different programmes under Tas’heel to finance the construction and purchase of land or property.

“One of the major benefits of this programme is that the minimum amount of housing finance has been raised from BD19,000 to BD40,000, while the maximum limit has been increased from BD60,000 to BD70,000.”

She also added that instalment paid on a monthly basis for each service wouldn’t exceed 25pc of the beneficiary’s salary.

Ms Al Romaihi said requests commenced yesterday and that those on the waiting list can also switch to the new financing initiatives.

The programme was yesterday approved by the Cabinet, chaired by His Royal Highness Prince Salman bin Hamad Al Khalifa, Crown Prince and Prime Minister.

“These are new financial options and packages that will expand the list of beneficiaries while also reducing the number of those on the waiting list,” said Eskan Bank general manager Dr Khalid Abdulla.

“Citizens seeking to benefit from the new scheme must be aged 21 to 50. They must reside in Bahrain, be the head of a family while also not owning any property.

“Their salary must be between BD320 and BD1,200 and the head of the family, or any of its members, shouldn’t benefit from a housing service from the government or other entities.”

Dr Abdulla added that citizens currently on the waiting list for government housing can also apply for one of the new financing schemes.

“The initiatives aim to speed up the process of providing housing services,” he added.