Mera Ghar Mera Ashiana Housing Finance 2025 – 20-Year Low-Interest Loan for Families. The Mera Ghar Mera Ashiana Scheme 2025 is a special housing finance program launched by the State Bank of Pakistan (SBP) in collaboration with the Government of Pakistan. This initiative aims to help first-time home buyers across Pakistan purchase or build their own homes at affordable loan rates with government subsidies.
If you dream of owning your first home, this scheme provides an excellent opportunity to make it a reality. Here’s everything you need to know.
Purpose of the Mera Ghar Mera Ashiana Scheme
The main goal of this scheme is to promote affordable housing for low- and middle-income citizens. Rising property prices have made it difficult for many people to buy or construct homes. This program offers easy and low-cost loans, enabling ordinary Pakistanis to own a house or flat without heavy financial burden.
Who Can Apply?
Eligibility requirements for the scheme include:
- Must be a citizen of Pakistan with a valid CNIC
- Must be a first-time home buyer
- Should not already own a house or flat in your name
This ensures the scheme benefits families who are genuinely in need of housing support.
How Can the Loan Be Used?
The loan can be utilized for:
- Buying a house or flat
- Constructing a house on a plot you already own
- Buying a plot and then building a house
This flexibility allows applicants to either start from scratch or improve existing land.
Property Size Limits
To maintain affordability, the scheme sets limits on property size:
- House: Up to 5 Marla
- Flat/Apartment: Up to 1360 square feet
These limits focus on providing practical and cost-effective housing solutions for families.
Loan Amount and Tiers
The scheme offers two loan tiers based on the amount needed:
- Tier 1 (T1): Up to PKR 2 million
- Tier 2 (T2): PKR 2 million to 3.5 million
This tier system makes the program suitable for different income levels.
Loan Tenure and Government Subsidy
- Maximum loan term: 20 years
- Government subsidy on markup provided for the first 10 years
This ensures affordable monthly installments during the crucial initial years of homeownership.
Markup Rates
The scheme offers very low markup rates compared to standard bank loans:
- Banks charge: 1-Year KIBOR + 3%
- You pay a fixed markup:
- Tier 1: 5%
- Tier 2: 8%
This makes it a financially viable option for first-time buyers.
Quick Summary
| Feature | Details |
|---|---|
| Loan Amount | PKR 2.0 – 3.5 million |
| Loan Tenure | Up to 20 years |
| Subsidy Duration | First 10 years |
| Fixed Markup (T1) | 5% |
| Fixed Markup (T2) | 8% |
| Loan to Value Ratio | 90:10 |
| Processing Fees | None |
| Prepayment Penalty | None |
| Eligibility | First-time home buyers |
| Property Size | 5 Marla house / 1360 sq. ft. flat |
Loan to Value Ratio
The LTV ratio is 90:10, meaning the bank finances 90% of the property value while the applicant contributes only 10% as equity. This reduces the upfront cost and makes homeownership easier for low-income families.
Where to Apply
The loan is available at:
- Commercial Banks
- Islamic Banks
- Microfinance Banks (MFBs)
- House Building Finance Corporation (HBFC)
Applicants can visit any participating bank to submit their application and inquire about the loan.
Additional Benefits
- No processing fees – Apply without extra charges
- No prepayment penalties – Pay off early without fines
- Government risk coverage – Covers 10% of outstanding portfolio on first-loss basis
These features make it a safe and affordable choice for first-time buyers.
Responsibilities of Participating Banks
Banks are required to:
- Promote and advertise the scheme properly
- Ensure smooth processing of applications
- Prevent misuse and maintain transparency
This guarantees that applicants receive full support during the loan process.
Conclusion
The Mera Ghar Mera Ashiana Scheme 2025 is a game-changer for first-time home buyers in Pakistan. With low markup rates, long repayment periods, no hidden fees, and wide accessibility, it offers one of the most beneficial housing finance options in the country.
