Finding a home in Pakistan has become hard with rising property and construction costs. To help people buy or build a home, the government launched Mera Ghar Mera Ashiana Scheme 2025. This scheme makes home loans easier to get, cheaper, and more flexible.
If you want to own a house or flat without paying too much, this article tells you everything you need to know.
What Is the Mera Ghar Mera Ashiana Scheme?
- It’s a housing finance scheme by the State Bank of Pakistan (SBP) to help low- and middle-income citizens own homes.
- The scheme uses markup subsidy and risk-sharing so banks can lend cheaper.
- It targets people who do not already own any residential property. First-time homeowners are prioritized.
Key Features of Mera Ghar Mera Ashiana Scheme
| Feature | Details |
|---|---|
| Loan Tiers & Amounts | Tier 1: Up to PKR 2 million at fixed 5% markup. Tier 2: From PKR 2 million up to PKR 3.5 million at fixed 8%. |
| Purpose | Buying house or flat; constructing a house; purchasing plot + construction; constructing on owned plot. |
| Size Limit | Houses up to 5 marla or flats/apartments up to 1,360 square feet. |
| Loan Tenure & Subsidy | Maximum 20 years; government subsidy (mark-up) for the first 10 years. |
| Equity / Down Payment | Borrower pays 10% as equity; banks lend 90%. |
| Cost / Interest Rate | Tier 1: 5% fixed; Tier 2: 8% fixed; banks price loans as One-Year KIBOR + 3%, but borrowers pay fixed rates during subsidy. |
| No Hidden Fees | No processing fees, no penalty for early repayment. |
| Risk Guarantee | Government provides 10% first-loss risk cover for banks to encourage lending. |
Who Is Eligible for Mera Ghar Mera Ashiana Scheme??
To be eligible for the Mera Ghar – Mera Ashiana Scheme, you must:
- Be a citizen of Pakistan with a valid CNIC.
- Never have owned a house, flat, or residential property before.
- Meet bank requirements (income proof etc.) so you can repay.
- Buy or build units that are within size limits (5 marla house / 1,360 sq ft flat).
How to Apply
Here are the steps to apply for the scheme:
- Go to any participating bank or branch (commercial, Islamic, microfinance, or House Building Finance Corporation).
- Fill out the application form for Mera Ghar – Mera Ashiana.
- Submit required documents: CNIC, proof of income, property documents if buying existing, or plot details if building.
- Wait for bank to verify eligibility and documents.
- Once approved, you will get loan offer, and payments/installments will begin as per the scheme plan.
Benefits & Why It’s Good
- Affordable Home Ownership: Fixed, low markup rates (5% / 8%) make monthly payments lighter.
- Long Payment Plan: Loan repayment over 20 years helps spread the cost.
- Low Upfront Cost: Only 10% down payment required.
- No Extra Charges: No processing fees or penalties for early repayment—a big plus.
- Risk Support: Government risk share helps banks offer more loans safely.
Things to Watch Out For
- Prices of construction material or land may vary, so even with affordable loan, costs can rise.
- Banks may have strict rules for document verification, income proof, etc.—prepare in advance.
- After the subsidy period (first 10 years), rates may change or align with KIBOR + margin.
- Make sure property you choose is properly authorized (approved societies) to avoid legal issues.
FAQs
Q1: What is the latest loan limit under Mera Ghar – Mera Ashiana?
Loans are available up to PKR 3.5 million, with Tier 1 up to PKR 2 million and Tier 2 between PKR 2 to 3.5 million.
Q2: What rate of interest (markup) will I pay?
For Tier 1: fixed 5%; For Tier 2: fixed 8% for the first 10 years, thanks to subsidy.
Q3: Can I apply if I already have a small house?
No. Only first-time homeowners (no property in your name) are eligible.
Q4: Is there a down payment?
Yes. You need to pay 10% equity/down payment, while the bank finances 90% of the value.
Q5: Where to apply / which banks participate?
All major commercial banks, Islamic banks, microfinance banks (MFBs), and House Building Finance Corporation Limited (HBFCL) are part of this scheme.
Final Thoughts
The Mera Ghar Mera Ashiana Scheme is a major opportunity in 2025 for many Pakistani families who dream of owning a home. With low down payments, fixed low markup rates, long repayment plans, and government support, it can make home ownership realistic for many. If you meet the eligibility and want a home without heavy financial burden, this scheme is worth trying.
Keep visiting PakHelp.pk and following our Facebook page for more updates, application alerts, and tips on housing schemes in Pakistan.
