Content on this page requires a newer version of Adobe Flash Player.

Get Adobe Flash player

Small Builders Scheme
1. Salient Features of Small Builders Scheme

To facilitate and encourage the small builders (Sole Proprietorship/Partnership) who are in the business of building/ selling houses/ flats.

Mode of financing:
          Profit based financing.

Financing Limit: 
              Upto 10 Millions Per party.

Facility Tenure:

For 12, 18 or 24 Months (optional), extendable for further 06 months on payment of additional profit.


This facility is now available for Karachi, Hyderabad, Lahore / Islamabad Rawalpindi, Multan, Faisalabad and Peshawar cities only.

Maximum Loan to Value ratio:

Profit Rate:
                          One year KIBOR plus 2.75% spread, yearly re-priced.

Qualifying Criteria:

  • The Builder (proprietor in case of sole proprietorship and partners in case of partnership) should be at least 22 years of age and not more than 65 years at the time of the maturity of the financing.


  • The Builder/Contractor firm which has employees (including contract employees) upto 20 persons and annual Sales turnover upto Rs.75 million shall be entitled for the finance.
  •  Financial accounts in some form, signed by builder/entity, are required to help HBFCL/estimation Agency to assess / verify the cash flows/Repayment capacity.


  • The Builder/Contractor firm should own plot(s) in the Municipal Limit area of the City. The entire infrastructure like Water, Electric, Sui Gas, Telephone, Sewerage and metal roads should be available in the area and the house(s)/Flat(s) should have good prospects of sale after completion.

Maximum No. of loans at a time:
The Builder/Entity can avail upto six loans at a time subject to maximum per party limit of Rs.10 Million.

          Life plus Property upto the extent of loan amount.


2. Balance Transfer Facility (BTF) from other Banks to HBFCL


To swap an existing housing finance facility from any Financial Institution in Pakistan. 

Financing Tenure

03 to 20 years

Up to PKR 10 million

Financing will cover only the outstanding principal amount and may also include any applicable early termination penalty, but not any other penalties /charges etc.

Corporation Investment Ratio (CIR)

  • Not more than 70% of the appraised forced sale value of the property, to the maximum of locality-wise capping
  • Not more than investment limit of the Company.
  • Investment based on current DBR

Profit Rate

Financing will be based on Variable Rate Option i.e. 1 Year Kibor (subject to review on each anniversary of loan) plus HBFCL’s Spread (3.25% for Salaried Class and 3.50% for Business individual).Spread will remain fixed during the entire tenure of the loan.


Payment will be made in one go, directly to the mortgagee bank in the presence of customer securing release of title documents etc to the satisfaction of HBFCL.


The payment of installments will start from the 1st day of the following month from the date of execution of Islamic House Finance Agreement.


Life plus Property upto the extent of Loan amount.

Email  |  IIR  |  Sitemap  |  Disclaimer

© Copyright 2012, HBFCL. All rights reserved.