Bank AL Habib Housing Finance Guide

Bank AL Habib's home financing covers buying, building, or renovating a home, including eligibility and the government-backed Apna Ghar scheme.

Part of PakFinHub's Bank AL Habib coverage — see the full bank overview.

Last Verified: Aug 23, 2026
Conventional & Islamic
Up to PKR 100 Million
Up to 25-Year Tenure

Written & reviewed by Dildar Hussain — 10+ years in Pakistani banking, BS Banking & Finance (NUML University)

Bank AL Habib home financing covers the full range of what people actually need a home loan for — buying a built property, purchasing a plot and constructing on it, renovating an existing home, or transferring an already-running home loan from another bank. On the Islamic side, the same needs are met through Diminishing Musharakah, a co-ownership structure rather than an interest-bearing loan.

Bank AL Habib Home Financing — Amount by Segment

Product Segment	Financing Range
Home Buyer (purchase of built property)	PKR 0.3m – 100m
Plot Purchase + Construction	PKR 0.3m – 100m
Home Construction / Balance Transfer	PKR 0.3m – 50m
Home Improvement — Residential House	PKR 0.3m – 20m
Home Improvement — Residential Apartment	PKR 0.3m – 5m

Tenure across all standard segments is 1–25 years. Sourced from Bank AL Habib's official Individual Financing page (bankalhabib.com/individual-financing).

Financing Rate

Applicant Type	Rate
Salaried individuals	1-Year KIBOR + 3.0% p.a.
Self-Employed Business/Professional	1-Year KIBOR + 3.5% p.a.

Variable rate — reviewed and revised on each anniversary of the financing, based on 1-Year KIBOR; the bank's spread stays fixed for the full tenure. No charges for early settlement or balloon payments. Free life insurance/Takaful coverage included (T&Cs apply); property insurance/Takaful is mandatory at the customer's cost.

Eligibility Basics

Nationality & relationship

Must be a Pakistani national with a minimum 1-year relationship with any bank(s).

Debt Burden Ratio

Up to 50% DBR of aggregate net income.

Age at maturity

Minimum 25 years; maximum 60 years for salaried applicants, 65 years for self-employed professionals (SEP) and self-employed businessmen (SEB).

Employment/business tenure

Minimum 2 years for salaried and SEP applicants; minimum 3 years for SEB applicants.

Minimum income

PKR 60,000/month take-home for salaried applicants; PKR 100,000/month for SEP/SEB applicants.

Co-borrower eligibility

Spouse, father, mother, or son can be added for income clubbing or property ownership purposes; minimum co-borrower net income PKR 30,000/month.

Documents (Salaried): application form, valid CNIC, 3 photographs, 2 years' employment proof, last 3 months' salary slips, 1 year's bank statement with salary credits. Documents (SEB/SEP): application form, valid CNIC, 3 photographs, 3 years' (SEB) or 2 years' (SEP) business proof, 1 year's bank statement. Contact: Consumer Banking Division, UAN 111-111-176. An official Housing Finance Calculator is available on bankalhabib.com to estimate your installment ahead of applying.

Housing Finance Fees & Charges

Charge	Amount
Processing Fee	Rs 12,000
Early Settlement Fee (full/partial)	Nil
Late Payment Charge	Rs 1,400 per late installment
Dishonored/Returned Cheque	Rs 1,000 per case
Property Valuation / Lawyer's Appraisal / Income Estimation	At actual

Exact figures from Bank AL Habib's official "Schedule of Bank Charges," effective July 1 – December 31, 2026 (Inst. Cir. #093). Late payment and dishonored-cheque charges both rose from Rs 1,200 and Rs 850 respectively in the prior January–June 2026 schedule. These fees also apply to the Renewable Energy Solutions financing described below, which is grouped with standard Housing Finance under the bank's own charge schedule.

Wazir-e-Azam Apna Ghar Program

A Government of Pakistan subsidized housing scheme — marketed by Bank AL Habib under the tagline "Ghar Ho Tu Apna" — offered through both its Conventional and Islamic Banking branches, and open to first-time home buyers generally, not restricted to overseas Pakistanis. The bank's official fee schedule lists this product under its formal name, "Government Markup Subsidy and Risk Sharing Scheme for Affordable Housing Finance"; it was renamed from an earlier "Mera Ghar Mera Ashiana" branding in a prior charges cycle, so don't be surprised if older material references that name instead.

Term	Detail
Eligibility	Resident and Non-Resident Pakistani nationals (NICOP/POC for NRPs); must be a first-time home owner not currently owning any housing unit
Financing amount	Up to PKR 10 million
Tenure	Up to 20 years (subsidy applies for the first 10 years)
Subsidy rate (first 10 years)	5% end-user pricing
Bank pricing (after 10 years)	1-Year KIBOR + 3%
Financing-to-Value ratio	90:10 (90% financing, 10% equity)
Minimum income	PKR 25,000/month for applicant, PKR 20,000/month for co-applicant(s)
Unit size cap	House up to 10 Marla / 2,720 sq. ft.; flat up to 1,500 sq. ft.
Processing Fee	Nil
Late Payment Charge	Rs 1,400 per late installment
Dishonored/Returned Cheque	Rs 1,000 per case

Includes free life insurance and no restrictions/charges on early repayment. Apply via apnaghar.gov.pk. Product terms sourced from Bank AL Habib's official Individual Financing page; fees from its official Schedule of Bank Charges, July–December 2026.

Low-Cost Housing for Special Segments

A dedicated financing facility for construction (including plot purchase) of a new housing unit, aimed at lower-income and vulnerable segments, capped at PKR 3 million per unit including plot value.

Eligible segments

Widows; children of martyrs (Shaheed) of law enforcement, armed forces, or civilian terror-attack victims; persons with disabilities (CNIC/SNIC disability logo); transgender persons; and residents of Mohmand, Bajaur, Orakzai, Kurram, Khyber, North Waziristan, and South Waziristan districts of Khyber Pakhtunkhwa.

Pricing & tenure

Fixed rate of 5.0% p.a.; tenure of 12.5 years for all special segments.

Eligibility basics

Pakistani national; minimum 6 months' active relationship with Bank AL Habib; minimum income PKR 30,000/month with 1 year's employment/business proof; installment capped at 40% of monthly take-home income; aggregate DBR capped at 50%.

Resale restriction

The financed unit cannot be sold or rented out until the loan is fully repaid, or for 5 years from first disbursement, whichever comes first.

Sourced from Bank AL Habib's official Individual Financing page.

Renewable Energy (Solar) Financing

A financing scheme for personal residential solar installations up to 1 MW generation capacity.

Financing limit

Up to PKR 2,500,000, with minimum 15% customer equity participation.

Repayment

Equal monthly installments, with a 3-month grace period during which only mark-up is recovered; full and partial payments are allowed without any charges.

Eligibility

Pakistani nationals aged 25–60 (salaried) or 25–65 (self-employed/SEP); minimum income PKR 60,000/month (salaried) or PKR 100,000/month (business/SEP); property must be in the applicant's or co-borrower's name.

Disbursement & insurance

Payment made directly to manufacturers/suppliers/contractors, not the customer; mandatory insurance of the installed unit; only brand-new equipment is financed.

Sourced from Bank AL Habib's official Individual Financing page.

Islamic Housing Finance (Diminishing Musharakah)

The core idea: Under Diminishing Musharakah, Bank AL Habib and the customer jointly purchase the property. The customer pays rent on the portion still owned by the bank, while each payment also buys back a small slice of the bank's ownership share — until the customer owns the property outright.

The same purchase, construction, renovation, and balance-transfer segments described above are available on a Shariah-compliant basis through the Islamic Banking Division, structured as Diminishing Musharakah rather than an interest-bearing loan.

Sourced from Bank AL Habib's official Islamic Housing Finance page (islamic.bankalhabib.com).

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Verify current rates, terms, and eligibility directly with Bank AL Habib before applying — this page is independent, sourced, and kept current, but the bank's own site is the final word on live terms.

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Bank AL Habib Home Financing — Amount by Segment

Financing Rate

Eligibility Basics

Nationality & relationship

Debt Burden Ratio

Age at maturity

Employment/business tenure

Minimum income

Co-borrower eligibility

Housing Finance Fees & Charges

Wazir-e-Azam Apna Ghar Program

Low-Cost Housing for Special Segments

Eligible segments

Pricing & tenure

Eligibility basics

Resale restriction

Renewable Energy (Solar) Financing

Financing limit

Repayment

Eligibility

Disbursement & insurance

Islamic Housing Finance (Diminishing Musharakah)

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