× Government Healthcare Islamic Finance Oil And Gas Real Estate Technology Telecom Tourism

Ministry of Housing Announces New Housing Financing Programs

August 2, 2022
real estate

Manama, Aug. 1 (BNA): The Ministry of Housing and Urban Planning held a press conference on Monday at the Isa Cultural Centre to announce the launch of the New Housing Financing Programs. The programs had been earlier approved by Cabinet.

Speaking during the conference, Minister of Housing and Urban Planning, Her Excellency Amna bint Ahmed Al Rumahi, affirmed the government’s commitment to continue efforts in formulating innovative housing solutions for citizens, in line with the comprehensive development plan led by His Majesty King Hamad bin Isa Al Khalifa.

She explained that the new housing financing programs are part of the ministry’s plans to implement the directives of His Royal Highness Prince Salman bin Hamad Al Khalifa, the Crown Prince and Prime Minister, to increase the beneficiaries of the “Mazaya” housing program by an additional 500 this year, along with the introduction of more financing options for housing services.

Minister Al-Rumaihi stated that the ministry is introducing new financing programs in cooperation with the Eskan Bank and several other banks. She explained that the new program dubbed “Tas’heel”, will provide three different financing options: “Tas’heel Aqari”, “Tas’heel Al Bait Al Oud” and “Tas’heel Ta’awon”, adding that the ministry has also added new features to the “Mazaya” program, on top of providing the existing housing services.

The Minister of Housing and Urban Planning added that the “Tas’heel” program will increase the minimum amount of financing from BHD 19,000 to BHD 40,000, while increasing the cap from BHD 60,000 to BHD 70,000, with no increase in payment deductions, which amount to 25% of the beneficiary’s income. She also stated that the new features of “Mazaya” will increase the beneficiaries’ age cap to 40 years.

Al-Rumaihi explained that all necessary measures have been taken to receive applications for financing as of Monday, 1 August 2022, through the national portal (Bahrain.bh).

For his part, the General Manager of the Eskan Bank, Dr. Khaled Abdullah, stated that in order to benefit from the “Tas’heel” program, applicants must be Bahraini, between the ages of 21 and 50, residing in Bahrain, have not benefitted from any housing service before, and with a monthly income between BHD 320 and BHD 1200. He added that the Ministry of Housing and Urban Planning reserves the right to exclude the minimum monthly income requirement in special cases.

Dr. Khaled explained that the “Tas’heel Aqari” program provides individual financing, while “Tas’heel Al Bait Al Oud” is for financing housing services on plots owned by relatives and “Tas’heel Ta’awon” is for collective financing. He added that services provided in these programs include constructing a housing unit, purchasing a housing unit, purchasing a plot, purchasing a building and constructing on it, adding to an existing property and purchasing a land plot and constructing on it. He said that ownership of real estate and common shares will be transferred to the bank or mortgaged as a financial guarantee.

Eskan Bank’s General Manager also added that the new “Mazaya” program has increased the benefitting age to 40, with financial caps depending on the age of the applicant. This on top of the current Mazaya services of purchasing a housing unit with a value up to BHD 120,000 and financing up to BHD 81,000.