Features:
• Fixed installments during the finance period
• Fixed profits during the finance period
• Mortgage the property to the bank
Saudi Awwal Bank - Self-construction product subsidized by REDF :
For land owner who aim to build their homes according to their need by home finance through supported profit installments for an amount of SAR500,000 compatibles with Shariah provided for REDF and Ministry of Housing.
It’s a product based on the concept of Tawarruq, where finance is provided to fulfill customer partial or full needs to construct a residence. The finance is received by payments according to progress phases schedule agreed upon with the customers at the time of contracting. And the finance is paid by monthly installments until the amount is fully paid.
SABB owns metal purchased and sells it to customers at an agreed upon fixed profit, the customer can produce an official power of attorney for SABB shortly after purchasing metal at the market prevailing prices then receive the amount of finance, to mortgage land as a guarantee until the amount is fully paid.
Flat Rate
6.78%
Down Payment
Monthly Payment
Minimum Salary
SAR 3500
Fees & Cost
Administrative fees: 1%
Documents required:
• Salary introduction letter
• Salary Transfer Letter
• Identification card
• Mortgage application form
• Medical questionnaire
• Full Medical questionnaire if the amount above 3,000,000
Benefits:
• Financing amount up to 5 Million SR and no less 150,000 SR.
• Administrative fee 1% of the value of the financing or SAR5000, whichever is lower, excluding VAT.
• Minimum Salary starting from 3500 SR
• Choosing to construct land/ incomplete property
• A waiver on payment of finance amount remained in case of death or permanent disability –god forbid-.
• Fixed installments and generally accepted profits during the financing period
• Finance period up to 25 years
• Step up payments as per customer obligations. Allow customer to obtain 2in 1 products.
• Step down payments on retirement- the customer will have a reduced installment after retirement in accordance with the pension
• Combo gives the customer ability to obtain personal and home finance in case the client approaches retirement age.