Media ININ Economy We Trust
Media In / Riyadh 17 April 2018
The Saudi Real Estate Development Fund (SDF) has launched a “Flexible Installment” for those who have personal loans with banks and those close to retirement age to provide solutions that enable them to obtain the amount of mortgage required to buy their right home.
“Anyone who has a personal loan will now be able to agree with the bank to change the rate of mortgage loan for the first two or three years, so that part of his monthly loan will go to his personal financing and the other part to repay,” Hamoud al-Osaimi, Mortgage finance, then after the end of personal finance becomes a full installment to repay the mortgage loan.
Al-Osaimi pointed out that those close to retirement age will benefit from a “flexible installment” like those who have personal loans. They can also change the rate of mortgage loan for the first four to five years until they reach retirement age, For example, if the installment paid by the citizen before retirement 3 thousand riyals will become after his retirement 1800 riyals, according to income before and after retirement.
On the other hand, the Real Estate Development Fund has started to apply new financing solutions, benefiting a large segment of citizens who previously could not obtain financing from banks and mortgage providers for many reasons, such as their work with small or medium-sized companies not registered with the banking sector, Entrepreneurs and their incomes are not fixed, or because of their age and approaching retirement age, most banks would have set the maximum age for financing up to 60 years. ”
Al-Osaimi noted that the past reasons have led the Fund to implement its new solution suitable for the previous segments. The possibility of funding retirees up to the age of 70, and financing the entrepreneurs as long as they are able to pay and provide proof, With mortgage lenders and participating banks in the “Mortgage Loan” program
