Home Loan in Pakistan

How to Get Home Loan in Pakistan at Lowest Interest Rates

In this article, we have put forward the operating banks of Pakistan which offer Home Loan in Pakistan and help acquire a house under a safe and trustworthy environment. Learn how you can get home loan in Pakistan through various banks in Pakistan. Also get news, information and updates on how to get home loan in Pakistan. If you’re looking for a way to make your dream house a reality and are in need of financial help, then you’re about to unlock the door to a new beginning. The Islamic state of Pakistan has a lot to offer in this regard. Both national and international banks provide home financing schemes and put your funds to the desired purpose. As based in an Islamic-oriented society, many provide sharia-based home financing programs putting you at an ultimate ease.

Few of the Banks which provide Home Loan in Pakistan are as follows.

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Now owning a house is easy because of the option of home loan in Pakistan. Everyone wants to have their own house. For some people owning a home is their one of the biggest dreams and ultimate goal of life. Unfortunately, due to limited resources of income and uneven wealth distribution, everyone cannot afford to have a home of their own.

No dream is only a dream just because you don’t have any means to realize them. There are financial institutions and banks that offer home loans in Pakistan. The truth behind everyone’s lavish, comfortable home is an easy home loan option that they used.

The Concept of Home Loan in Pakistan

The home loan option is pretty new and novel in Pakistan when it was first introduced. Countries like America, Canada, England and Australia were already benefitting from this option and the property market was soaring at that time.

As time passes, inflation, economic conditions and political instability makes it harder for a common Pakistani citizen to even dream of having a home. Gradually, the banking system developed and started offering home loans. However, the recent form of home loans offered by banks and financial institutions are advanced and convenient for layman.


From easy down payment spread over 3 -20 years span of installments make it easy for a person to own their home. So with convenient home loan options in Pakistan, people begin to think that they should have a house of their own. To answer the question of how to get home loan in Pakistan, it is necessary that as a loan taking party you should know all your obligations, rules, clauses, property laws and your rights. To understand home loan policy, you must gather all the necessary information as it will be your biggest monetary investment and efforts.

Things you should keep in mind

  • Keep an optimal price range: first, set a practical price range. Assure yourself that you can and you will pay that amount in given period. You are going to own your dream house, so be happy and don’t take too much pressure by setting on high demands and priorities.
  • Choose a decent locality: This is the most difficult part of this process where you must choose a locality. Locality will eventually describe your choices of wellbeing, security, cleanliness and neighborhood. Choose wisely because it will be the place where you will live probably for the rest of your life. Moreover, the locality does effect on price range of property as well.
  • Take pre-approval from the loan lender: getting a pre-approval makes your case strong as you will then have bargaining power with the seller. The preapproval will also assure the seller that you have authentic resource and you will not back out from your deal at any time.
  • Hire a professional house inspector: If you are planning not to invest any more in the property then it is best that you hire a professional house inspector to check for any issue or hidden damages that might not be prominent to you. Leakage, sewerage, ceiling, mites and other issues that may sometime seem fine but they damage the overall foundation of your property. A professional house inspector would inspect the house from every aspect and identify the damages and issues to you. This will save you a whole lot of money as well.


  • Always check for utilities supplies: to own a house is like owning an industry that should and must have all the utilities always or in Pakistan let’s say most of the time. Check for electricity connections, water supply, sui gas facility, cable, telephone and internet signals. These things are necessity of life and missing out on any one of them would affect your daily life and your family.

Top 8 Banks Which Provide Home Financing

As number of banks and banking networks grow stronger in Pakistan, banks come up with compelling and bewitching ways to get you convinced to take home loans. Apart from bank loans, you can also take home loans from House Building and Finance Corporation. Moreover, for all those who don’t want to stuck in the race of interest rates, KIBOR and LIBOR then there are more Islamic ways to finance your home like Modaraba and Musharaka.

Modaraba or Islamic way of financing home loan is different than the conventional home loans as no interest rate is involved in this and lessee will pay the amount of the property in easy installments. Many banks in Pakistan have now started offering no interest rates home loans as well.


BANK ALFALAH – Musharkah Home Finance

At Musharaka Home Finance you can collaborate with Bank Alfalah Islamic Banking and get your own house through diminishing Musharkah. The bank issues up to 70% of the total required sum (terms and conditions applied). The procedure includes monthly payments of rent to the bank which are subject to Bank’s property share and the acquisition of Musharaka units so to increase your property ownership. Once the purchase of Musharkah units comes to an end, it follows up to a sole ownership of the property.

To best suit your needs, Bank Alfalah provides with various home finance programs which include:

  • Home Buyer- Ready-made houses.
  • Home Builder- Construction of a new house.
  • Home Improver- Renovation/rebuilding of a house.
  • Home BTF- Payment of your existing home loan from another bank.

Benefits & Features

  • The hassle free procedure is quick.
  • The program is compliant with sharia-based principles.
  • The financing facility caters up to 20 years of flexible tenures.
  • The bank charges low processing and documentation fee.
  • The rent charges are subject to variation.


Eligibility Criteria

  • A regular tax payer.
  • A Pakistani ID card holder.
  • An individual between 25 to 65 years of age.
  • An individual who’s had a continuous 2-year job employment.
  • A person who’s self-employed must have retained the business for more than 3 years.

SUMMIT BANK – Home Finance

Summit Bank believes in the right choices and solutions for everyone. Thus, they bring you comprehensive loan plans. Their flexible Home Finance offers combined with personalized service complements the customer needs exceptionally well.

The bank can be looked up to for the following fulfillment of financial requirements:

  • Buy a new house.
  • Construct a new house.
  • Renovate/repair your house.
  • Purchase land for construction.
  • Finance to transfer the existing mortgage.

Benefits and Features

  • The early settlement facility is available.
  • The down payment is as low as to 15%.
  • The loan amount can go up to as much as Rs.100, 000,000/-
  • The loan tenure can happen for minimum 1 to maximum 20 years.
  • The documentation process is quick and incorporates hassle free processing.


Eligibility Criteria

  • The salaried individual must fall under the age group of 23 to 65 years.
  • The self-employed individual’s age limit has been prescribed in between 23 to 65 years.
  • A business persona is followed up by the same age limit of 23 to 65 years.

Home Loan Meezan Bank- Easy Home Islamic Finance

Meezan Bank offers Easy Home Financing scheme for easy ownership of a property. The bank and customer are bound by the Musharkah agreement. The bank willingly bears a pre-decided sum of the required amount. Here, you pay rent on monthly basis to the bank, of which one component comprises of the equity share, while the other is for the house usage. The rates are regularly reduced as your share units up to a notch. The sole ownership of the house is entitled to the full payment. Once it clears, you become the sole proprietor of the house.

Likewise, Meezan Bank caters to four different housing categories:

  • Easy Buyer- finances you to move-in instantly into a new house.
  • Easy Builder- finances to build a brand new house.
  • Easy Renovate- Finances to repair.
  • Easy Replace- finances existing home debt consolidation.

Benefits and Features

  • The bank promises to bear your finance needs up to the maximum allowance limit.
  • The bank practices shariah based financing policy.
  • The rent gets reduced after regular rental payment.
  • The bank provides affordable installment plans.
  • The bank entertains the flexibility of partial pre-payments.


Eligibility Criteria

  • Pakistani national as per policy.
  • The primary applicant has to rest in-between the age set of 25 to 65.
  • The co-applicant can reside between 21 to 70 years of age.
  • The salaried individual’s financing maturity shall not be more than the retirement date.
  • The co-applicant has to be a close family member.
  • The salaried individual must have a gross income of at least PKR 40,000/- per month.
  • The salaried individual must have a stable work history.
  • A businessman must have a 3-year credibility under his work banner.

Bank Al Habib – Housing Finance

At HBL they help you settle for the most amazing deals. Be it a new house, one to be made or renovated, Bank Al Habib has it all. The bank carries out a face-to-face or telephonic meeting and sorts out your queries to the best of their ability. Complete information is provided by the relationship manager about home mortgages. Finances up to 20 years, it helps you get the best of every housing category. The bank offers:

  • Buy a house- provides financing for a new home.
  • Build a house- provides financing for construction on a pre-acquired land.
  • Renovate a house – provides financing for renovation.


Benefits and Features

  • Bank Al-Habib finances up to PKR 20 million for home purchase and construction.
  • PKR 5 million for home renovation at a financing period of 1 to 10 years.
  • The bank promises to bear up to 80% of the required financial share.
  • The bank provides you with feasible installment plans.

Eligibility Criteria

  • National identity card holder.
  • Aged in between 23 to 60 years.
  • Must have the minimum income of PKR/- 20,000.
  • The debt burden has to be less than 50% of the aggregate amount.
  • Self-employed individuals maintaining stable work history. (2 years min.)
  • Salaried individuals must have been in practice for at least 1 year or more.
  • Self-employed professionals including doctors, engineers, chartered accountants, architects, etc. can apply.

MCB- Home Loan in Pakistan

MCB knows that home has a direct link to your heart. Therefore, they believe in the long-held aspiration of house ownership and fulfill this dream by helping you to purchase, renovate or construct by opening doors to sensible financing plans. The bank functions in the following ways:


  • Home purchase- Buy a ready property and move-in instantly.
  • Home construction- Construct a new house on your own or borrowed land.
  • Home renovation- Improvement of your existing property through renovation.
  • Land purchase and construction- Buy a plot/land for customized construction on it.

Benefits and Features

  • The property is secured through insurance.
  • The bank offers a maximum loan tenure of about 20 years.
  • The bank provides easy installment plans with equal monthly installments.
  • The monthly installment shall not exceed 50% of the borrower’s monthly net income.
  • The bank caters from PKR 15 to 50 million for home purchase, renovation, and construction.

Eligibility Criteria

  • The borrower must be a Pakistani national.
  • Self-employed professionals can apply.
  • Businessman/ salaried individual.
  • Satisfactory work history.
  • Stable net income.


FAYSAL BANK – Faysal Home Finance

Faysal Bank takes over your financial worries and lets you live a content happy life within your means and reach. The easy to attain financial plans. To suit your needs, the bank follows up a variety of leasing plans. Their different home financing schemes include:

  • Buying – Purchase a new house at the expense of the bank.
  • Building – Purchase a plot and build over your own desired location.
  • Rebuilding- Renovate your existing home as per your need and liking.

Benefits and Features

  • The bank caters 75% of the total financial requirement*
  • The installment plans are easy and on monthly basis.
  • The bank offers spouse income clubbing facility.
  • The repayment period goes up to 20 years.

Applied to home purchase only.

Eligibility Criteria

  • As per policy both a resident and non-resident are eligible.
  • The applicant should be between age set of 21 to 60 years.
  • The applicant must be a regular tax payer and has a valid NTN.
  • For employees min. 3 years of employment tenure is necessary.
  • For self-employed businessman min. 2 years of experience and stable income is required.
  • The maximum size of each installment cannot exceed 40% of an individual’s monthly income.


NBP Home Loans – Saiban

The National Bank of Pakistan initiated Saiban as their home financing scheme. The program helps you unveil and reach out to the future of your own. The bank provides finance up to PKR 20 million (subject to terms and conditions). The equity share falls into the ratio of 85:15, whereby bank caters to 85% of your financial need. Their product items include:

  • Home purchase finance – Buy a new house or apartment as per your need.
  • Home construction finance- Build a house on purchased plot or land.
  • Home renovation finance- Rebuilt or remold your house.
  • Refinancing BTF- Transfer your previous outstanding home finance facility.

Benefits and Features

  • The bank finances up to 85% of the total needed amount.
  • The financing period varies from 3 to 20 years for home purchase.
  • The bank promises to cater maximum fund limit of PKR 35 million.
  • For home renovation, the bank can process finance up to PKR 15 million.


Eligibility Criteria

  • The applicant must be Pakistani national identity card holder.
  • Property or land should be located in NBP approved area categories.
  • Applicants can be a salaried individual, self-employed businessman or a professional.
  • The applicant must be aged between 21 and 65 years at the time of disbursement of the loan.
  • Minimum income to qualify for the loan is PKR 5000 for Govt. Employees.
  • PKR 10,000 for other salaried class and PKR 15,000 for self-employed and businessmen.
  • Requires 2-year service duration for salaried people and approx. 3 years for self-employed/business class.

BANK ISLAMI- Muskun Home Financing

Bank Islami encourages to reach out to your dream house by availing their finance facilities. Through Muskun Home Financing you can build a new home for your loved ones. The bank follows the diminishing Musharkah and Ijarah policy. Bank Islami is set to making this journey a memorable one. You can choose from the following options:

  • Home Purchase – All you need to do is point your finger at your dream house and we promise to help you get it.
  • Home Construction- If you want to build your dream home as per your imagination then we’ll provide you with beautiful designs and help shape your dream.
  • Home Renovation- Thinking of remodeling your house and giving it a brand new look? You design the look and we will help you remold it.
  • Home Replacement- Bank Islami helps you lay the foundation of your new house on an interest-free basis. If you want to switch to Shariah-compliant financing means and leave the conventional methods then we are here to transfer them in a hassle-free manner.


Benefits and Features

  • Trouble-free quick processing.
  • Financing up to 50% to 70% of the required value.
  • Financing up to the limit of PKR 50 million.
  • Tenure period limits to 25 years.
  • No pre- payment additional or hidden charges after each year.
  • Flexible & Affordable installments.
  • Allows clubbing of immediate family income.

Eligibility Criteria

The applicant to be a national identity card holder.

The Salaried/Businessmen/Professionals can apply.

The primary applicant must fall under the age set of 25-65 years.

The co-applicant to be in-between 21-70 years.

The salaries/employed individual must have a minimum 6-month work history at current employment and 2 years continuous employment record in the same field.

The self-made businessman must have a stable income history of about 3 years.

The net income of salaried and businessman to be PKR 51000/- PKR 75000/-, respectively. 


Pros and Cons of Home Loan in Pakistan

Like everything in this world home loans have their own pros and cons. In Pakistan getting a home is difficult because of inflation and economic conditions. Home loan is a way towards realizing your dream. You can pay convenient amounts in installments whether biannually, monthly or in yearly installments. This makes it easier for people to get a house without getting drowned in bad debts. You can shift in your own house once you are done with the down payment. You can pay while you are living in your house.

On the other hand, getting a home loan is like stuck in a forever tension of paying a good sum out of your income. Professionally if you commit to pay a certain amount in installment of home loan then it means you are not free to switch your job and need job security badly. You need to earn more and more because with increasing inflation and economic pressure, lifestyle demands and family pressure.

To get home loan in Pakistan is not a rocket science anymore. You just have to research about every how and whys before getting a home loan commitment. Moreover, per your belief and convenience, choose the best way to get home loan in Pakistan. Home loan in Pakistan is a way to fulfil your dreams and own a small world of your own with your loved ones.


So coming to the conclusion. Anyone can easily get a home loan in Pakistan whenever a need arises and then pay off in easy installments. If you have any issues regarding how to get home loan in Pakistan approved Let us know!