dear CMY
i have a very limited budget to build my own home, i was wondering if i could get a bank to purchase a home and pay the installment through renting a portion of the home?
do you think it is possible for a middle class income person like me?
please do answer, JAZAK ALLAH
AG replied on Friday, July 22, 2011 07:26 PM
@Naseeb Sheikh.
1. Banks/House Building Finance Corporation do not finance 100% cost of the house.
2. Interest rates in Pakistan are very high. It will be very difficult to get enough rent from a portion of a house to pay back the installments (Principal + Interest). Default on installment payment is a "Death Sentence".
3. In my opinion the best option for middle income people (by the way middle class is the one which leads the most difficult life in Pakistan) is to book two small residential plots in some housing scheme of a reliable developer & wait till the scheme is fully developed & prices of plots have gone up. Then sell one of the plots & build house on the other.
4. I did the same. I bought 3 Nos. 8 marla plots in Low Cost Block of Bahria Town Lahore which cost me around PRs. 400,000/- each in installments over a period of time & has a present value of Prs. 2,100,000/- each. I have build my house on one of them which happend to be 32.5x60 ft. instead of 30x60 ft. being a corner plot.
Regards. |
Mrlahori replied on Friday, July 22, 2011 07:28 PM
Dear brother, What you can do is You can get a plot with your limited budget somewhere. ANd then you can go to HBFC ( house building Finance corporation) and they can give you loan to build house on your plot. Before doing anything go to HBFC office and discuss your case with it. I know it wont be easy and might be very hard but try and you can achieve it.
The website for house building finance coorporation is http://hbfc.com.pk/ You can get some information from there as well. There is a financial calculator on the website which you can use.
To get a loan from any bank, they will see how good is your job, for how long did you have it ? is it permanent ? will you be able to manage your installments and your living expenses side by side. These are few things which they will be looking.
May Allah help you in your efforts. |
