Financing from a partner bank where monthly installments are subsidized by the government
One of the initiatives proposed by the Ministry of Housing and Urban Planning in collaboration with the private sector is aimed at providing social housing for citizens who are on waiting lists. The program's concept revolves around eligible citizens purchasing a housing unit through financing obtained from participating banks. The government provides financial support to the citizen, which entails covering the difference between the actual installment value of the specified financing amount determined by the funding bank and the monthly installment amount due from the citizen, not exceeding 25% of the citizen's salary. Citizens have the freedom to choose their housing unit, considering factors such as location, area, or unit components. This choice can be made from projects by real estate development companies approved by the ministry or other units that meet the ministry's technical specifications.
Key Provisions
The government subsidy is the difference between the total monthly installment and the 25% of the beneficiary's income percentage
The government subsidy decreases biannually based on the increase in beneficiary's monthly income
Repayment term up to 25 years
Financing Purposes
Purchase a ready to live home valued up tp 120,000 BD
Conditions
- To be a Bahraini.
- To be the head of the family.
- The age at the time of submitting the application and disbursement of the financing from the financing bank shall not be less than (21) years and not more than (35) years for the Mazaya Programme & not more than (40) years for the Mazaya (New Category) Programme.
- The applicant’s income, at the time of application and until disbursement of the financing from the financing bank, shall not be less than (600) Bahraini Dinars to benefit from the Mazaya Programme, and shall not exceed (1200) Bahraini Dinars in both cases.
- The applicant or any of their family members must not have previously received any housing service for the purpose of owning a property.
- The price of the purchased house through Mazaya Program should not exceed BHD 120,000 and the financing amount is up to 81,000 Bahraini Dinars. As for the Mazaya (New Category) Program, there is no specific ceiling for the price of the property and the financing amount is up to 63,000 Bahraini Dinars. To apply for financing the construction of a house, it must be proven that the applicant or any member of their family owns a suitable empty residential land plot that is free from any legal dispute.
- The applicant’s family must be a permanent resident of the Kingdom of Bahrain.
- The applicant shall not be the owner of a property; they or any member of their family for a period of (3) years prior to the submission of the application and until allocation, and shall be considered an owner, if they have benefited from a dwelling through one of the forms of Islamic financing financing or under commercial financing.
Mazaya Financial
