Housing Loan for Non-Resident Bangladeshi (NRB)
Bangladesh House Building Finance Corporation (BHBFC) is the sole government entity that provides housing loans to all citizens in order for them to purchase apartments or build houses. Anyone can apply for a BHBFC loan to build a house or buy an apartment, but you must put a mortgage on the property documents and because it is a secured loan. Expats from Bangladesh earn foreign currency. Generally, expatriates invest their remittances in a wide range of industries, including factories, shopping malls, advanced agriculture projects, and commercial structures. Expatriates have made significant contributions to Bangladesh’s unemployment problem, with their money increasing the country’s foreign exchange reserves.
Objectives of Housing Loan for NRBs
- Bangladesh Government is the only housing project
- Civil services with modern facilities in the construction of multi-storied buildings
- Housing loan assistance for expatriates
- The money earned by expatriates is conveniently invested
- Growth in the country’s economy through investment in the housing sector.
Key Features of the loan
- Loan Amount:
- For single: Maximum of BDT 200 lakhs
- For Group: BDT 120 lakhs
- Flat loan: BDT 120 lakhs
- Applicants Equity: 70:30
- Loan Repayment Tenure: 5 years to 25 years maximum
- Monthly installments: The monthly installments will be determined by the Emrutization method.
- The amount of monthly installments is mentioned in the following table in BDT one lakh:
| Repayment period | Monthly installments at 8.00% interest | Monthly installments at 9.00% interest |
| 25 years | BDT 772.00 | BDT 839.00 |
| 20 years | BDT 837.00 | BDT 900.00 |
| 15 years | BDT 956.00 | BDT 1014.00 |
| 10 years | BDT 1213.00 | BDT 1267.00 |
| 5 years | BDT 2028.00 | BDT 2076.00 |
- Building Details: Loans can be taken for the construction of multi-storied buildings having one or more units.
Housing Loan Benefits for NRBs
A. Single Borrower Advantage for Housing Loan
| Target Area | Interest Rate | Loan Celling (In One Lakh BDT) |
|---|---|---|
| Dhaka and Chattogram Metropolitans area: Dhaka: Govt. flat at Gulshan, Banani, Dhanmondi, Baridhara, Uttara, Lalmatia Abashik Area, DOHS (Mohakhali, Baridhara, Banani, Mirpur). Chattogram: Govt. flat at Agrabad, Chaddagaon, Carnalhat, Baklia, Kalpolok Abashik Area, and Khulshi Abashik Area. | 9.00% | 200.00 |
| Other areas of Dhaka and Chittagong Metropolitan except for the above-mentioned areas | 9.00% | 100.00 |
| All divisional cities and district headquarters areas except Dhaka and Chittagong Metropolitan | 8.00% | 60.00 |
| Housing loans in rural areas. | 8.00% | 50.00 |
B. A Group Borrower Advantage for Housing Loan
| Target Area | Interest Rate | Loan Celling (In One Lakh BDT) |
|---|---|---|
| Dhaka and Chattogram Metropolitans area: Dhaka: Govt. flat at Gulshan, Banani, Dhanmondi, Baridhara, Uttara, Lalmatia Abashik Area, DOHS (Mohakhali, Baridhara, Banani, Mirpur). Chattogram: Govt. flat at Agrabad, Chaddagaon, Carnalhat, Baklia, Kalpolok Abashik Area, and Khulshi Abashik Area. | 9.00% | 120.00 |
| Other areas of Dhaka and Chittagong Metropolitan except for the above-mentioned areas | 9.00% | 60.00 |
| All divisional cities and district headquarters areas except Dhaka and Chittagong Metropolitan | 8.00% | 40.00 |
| Housing loans in rural areas. | 8.00% | 40.00 |
C. Housing loan for expats to buy flats
| Target Area | Interest Rate | Loan Celling (In One Lakh BDT) |
|---|---|---|
| Dhaka and Chattogram Metropolitans area: Dhaka: Govt. flat at Gulshan, Banani, Dhanmondi, Baridhara, Uttara, Lalmatia Abashik Area, DOHS (Mohakhali, Baridhara, Banani, Mirpur). Chattogram: Govt. flat at Agrabad, Chaddagaon, Carnalhat, Baklia, Kalpolok Abashik Area, and Khulshi Abashik Area. | 9.00% | 120.00 |
| Other areas of Dhaka and Chittagong Metropolitan except for the above-mentioned areas | 9.00% | 80.00 |
| All divisional cities and district headquarters areas except Dhaka and Chittagong Metropolitan | 9.00% | 60.00 |
| Housing loans in rural areas. | 9.00% | 40.00 |
Note: Bangladesh House Building Finance Corporation (BHBFC) is the only government institution in Bangladesh that provides housing loans for people to buy flats and build houses. In the case of building construction with six or more floors, the installation of elevators, sub-stations, and generators is limited to a maximum of 20 (twenty) lakhs for elevators, 10 (ten) lakhs for sub-stations, and 5 (five) lakhs for generators.
Frequently Asked Questions (FAQ) for NRB House Building Loan
Q: What is a House Building Loan?
A: A House Building Loan is a secured loan from a bank issued for the purpose of building a house, with the underlying property used as collateral. If the borrower defaults, the bank may seize or sell the collateral to recoup the main sum and any accrued interest.
Q: What are the loan limits for House Building Loans?
A: The loan limits are as follows:
- For single: BDT 200 lakhs
- For Group: BDT 120 lakhs
- For Flat: BDT 120 lakhs
Q: What is the amount of equity required for applicants?
A: The equity amount required is 70:30.
Q: How will the repayment installments be calculated?
A: Monthly installments will be calculated using the Amortization method.
Q: Who are the main customers eligible for Prabasbandhu loans?
A: Bangladeshi citizens by birth who have at least 3 years of legal stay as expatriates.
Q: What is the minimum and maximum loan tenure?
A: The minimum loan tenure is 5 years, and the maximum is 25 years.
Q: What is the interest rate on House Building Loans?
A: The interest rate ranges from 8.00% to 9.00%.
Q: What is the maximum loan amount for house construction in rural areas?
A: The maximum loan amount for house construction in rural areas is BDT 40 lakhs.
Q: What is the maximum loan amount in all divisional and district cities except metropolitan areas?
A: The maximum loan amount in all divisional and district cities except metropolitan areas is 60 lakhs.
Q: Can I get a loan for government-leased land?
A: Yes, the documents of the leased land and the lessee will be accepted by the Am-moktarnama (আম-মোক্তারনামা).
For more detailed information, please visit: www.bhbfc.gov.bd