Bank Alfalah Home Loan & Islamic Home Finance Guide
Part of PakFinHub's Bank Alfalah coverage — see the full bank overview.
- 5% Fixed — First 10 Years
- Govt. Subsidy Eligible
Quick answer: Bank Alfalah's home loan comes as a conventional Home Finance product or the Islamic Mera Ghar Mera Ashiana option, including the government-subsidized Apna Ghar Program, priced off KIBOR plus a spread with tenures up to 20 years. Use the calculator below for your monthly installment and early-settlement cost.
"Bank Alfalah home loan calculator" is a smaller but consistent search category, and the product behind it works differently depending on whether you go conventional or Islamic. Bank Alfalah offers a conventional Home Loan alongside its Islamic home-finance product structured under Diminishing Musharakah (Mera Ghar Mera Ashiana), plus access to the government-backed Wazir-e-Azam Apna Ghar Program subsidy scheme. This page's calculator also covers something no other Bank Alfalah home-loan calculator online shows: what it actually costs to settle early.
Home Loan Calculator
Every other Bank Alfalah home loan calculator online stops at your monthly installment. This one also tells you what it costs to settle early — using the bank's real, tiered Early Settlement Penalty from its own Schedule of Charges, not a guess.
Loan Details
Showing a Rs. 15,000,000 property as an example — edit the fields above and it updates instantly.
True Total Cost — Not Just the Monthly Number
⚡ The Question Nobody Else Answers: What Does Settling Early Cost?
Every other Bank Alfalah home loan calculator online shows the installment and stops. Buried in the actual Schedule of Charges is a detail that changes the decision: the Early Settlement Penalty on standard Home Finance steps down the longer you've held the loan — 5% of outstanding balance in Year 1, 4% in Years 2–3, 3% in Years 4–5, and 1% after Year 5. (Note: this penalty does not apply to the Wazir-e-Azam Apna Ghar Program — that scheme has zero early/partial-payment charges by design.)
No personal or financial account information is required. This tool runs entirely in your browser.
Fee Data & Sources
Processing fee (standard segment) and the tiered Early Settlement Penalty (Year 1: 5%, Years 2–3: 4%, Years 4–5: 3%, after Year 5: 1% of outstanding balance) are taken directly from Bank Alfalah's official Schedule of Bank Charges, effective July 1 – December 31, 2026, Home Finance section. These apply to standard (non-subsidized) Home Finance only — the Wazir-e-Azam Apna Ghar Program carries no early-settlement penalty per the same document.
Markup rate is not fixed for standard Home Finance — it floats with 1-Year KIBOR plus a spread set at application. The default shown (16%) is a generic illustration, not a bank-quoted figure; for the Apna Ghar Program, use the fixed 5.00% p.a. rate (first 10 years) shown in the table above instead. Always confirm your actual rate and eligibility before applying.
Last verified: September 7, 2026. Bank charges and rates change — always confirm with Bank Alfalah directly before making a financial decision.
Independent estimate — not an official Bank Alfalah calculator, and not connected to Bank Alfalah's systems. For a bank-confirmed figure, use Bank Alfalah's official calculator or contact home.finance@bankalfalah.com. PakFinHub is not affiliated with Bank Alfalah.
How Bank Alfalah Home Finance Compares — Scale & Market Position
This is the kind of context that actually helps when comparing lenders, not just listing rates: per Bank Alfalah's own Q1 2026 investor briefing, the bank's Home Loans book stood at PKR 32.0 billion in Ending Net Receivables (ENR) as of Q1 2026, up PKR 6.9 billion year-on-year (a 21.5% market share in ENR terms), with the bank citing the highest acquisition volume in the industry over that period alongside the largest wallet size by ENR. An earlier version of this page cited a PKR 13.8 billion "highest-ever annual sales acquisition" figure for Home Finance and a 35% ENR growth rate; on re-verification, PKR 13.8 billion appears in Bank Alfalah's own disclosures as a Personal Loans figure, not Home Finance, so that claim has been removed pending confirmation directly against the bank's audited Annual Report 2025 rather than left live as a possibly conflated number.
PMRC hybrid pricing
A hybrid-pricing home finance product launched with the Pakistan Mortgage Refinance Company (PMRC) in 2025, aimed at offering more predictable long-term rate structures.
Mera Ghar Meri Pehchaan
A women-focused home financing product introduced alongside the bank's broader Islamic housing finance lineup.
Home Solar Finance — real uptake
Served 550+ households in 2025 alone, per the bank's own disclosure — a genuine adoption figure, not just a product listing.
Roshan Apna Ghar — cumulative disbursement
PKR 2 billion disbursed since launch to overseas Pakistanis under the RDA-linked home financing scheme.
Bank Alfalah Home Loan — Wazir-e-Azam Apna Ghar Program
Bank Alfalah's Apna Ghar offering runs under the government's Markup Subsidy and Risk Sharing Scheme for Affordable Housing Finance. It comes with quick and easy processing, no processing fee, and no partial or early-payment charges — a meaningfully cheaper structure than a standard mortgage once you account for typical processing costs.
| Term | Detail |
|---|---|
| Eligibility | First-time homeowner Pakistani citizens holding a valid CNIC, not currently owning any housing unit in their name |
| Size of housing unit | House up to 10 Marla / 2,720 sq ft, or flat/apartment up to 1,500 sq ft |
| Facility purpose | Purchase of house/flat; construction on an already-owned plot; or purchase of plot + construction |
| Markup rate — first 10 years | 5.00% p.a., fixed |
| Markup rate — after 10 years | 1-Year KIBOR + 3.0% p.a. |
| Financing tenure | 3–20 years (subsidy applies for the first 10 years) |
| Maximum financing amount | PKR 10 million |
Tentative Monthly Instalments (First 10 Years, Fixed 5% p.a.)
| Financing Amount (Rs) | 20 Years | 15 Years | 10 Years |
|---|---|---|---|
| 1,000,000 | 6,600 | 7,908 | 10,607 |
| 2,000,000 | 13,199 | 15,816 | 21,213 |
| 3,000,000 | 19,799 | 23,724 | 31,820 |
| 4,000,000 | 26,398 | 31,632 | 42,426 |
| 5,000,000 | 32,998 | 39,540 | 53,033 |
| 6,000,000 | 39,597 | 47,448 | 63,639 |
| 7,000,000 | 46,197 | 55,356 | 74,246 |
| 8,000,000 | 52,796 | 63,263 | 84,852 |
| 9,000,000 | 59,396 | 71,171 | 95,459 |
| 10,000,000 | 65,996 | 79,079 | 106,066 |
Other Home Financing Options
Bank Alfalah Home Loan (conventional, non-subsidized)
Standard mortgage-style financing for purchase, construction, or renovation, with market-rate repayment over the agreed tenure, for buyers outside the Apna Ghar eligibility criteria.
Mera Ghar Mera Ashiana (Islamic, Diminishing Musharakah)
A Shariah-compliant version of the same subsidized scheme — the bank and customer jointly own the property, and the customer buys out the bank's share over time while paying rent on the remaining portion, instead of paying interest-based markup. See our Islamic Banking guide for how Diminishing Musharakah works more broadly.
Roshan Apna Ghar (for RDA holders)
The overseas-Pakistani-specific version of home financing, accessible through a Bank Alfalah Roshan Digital Account for Non-Resident Pakistanis wanting to own real estate in Pakistan.
Bank Alfalah Home Finance — Actual Fees (July-December 2026)
| Charge | Amount |
|---|---|
| Processing Fee — Wazir-e-Azam Apna Ghar Program | No processing fee |
| Processing Fee — Roshan Apna Ghar (RDA customers) | PKR 4,000 (flat) |
| Processing Fee — standard Home Finance (varies by customer segment) | PKR 5,000-12,000 (flat), depending on salaried/self-employed/expatriate/low-cost segment |
| Processing Fee — Home Solar Finance / Green Energy | PKR 9,000 (flat) |
| Early Settlement Penalty — Year 1 (standard Home Finance, not Apna Ghar) | 5% of outstanding amount |
| Early Settlement Penalty — Years 2-3 | 4% of outstanding amount |
| Early Settlement Penalty — Years 4-5 | 3% of outstanding amount |
| Early Settlement Penalty — After Year 5 | 1% of outstanding amount |
| Balloon/Partial Payments (standard Home Finance) | Up to 2 per year, capped at 20% of outstanding balance aggregate, before penalties apply |
| Balloon/Partial Payments — Roshan Apna Ghar | Zero charges after Year 1 (1% charged if paid within Year 1) |
| Late Payment Charges (all Home Finance products) | PKR 1,700 per installment |
Diminishing Musharakah, Step by Step
| Stage | What Happens |
|---|---|
| 1. Joint purchase | You and Bank Alfalah co-purchase the property, typically with you contributing an upfront equity share |
| 2. Rent on bank's share | You pay rent on the portion of the property still owned by the bank |
| 3. Gradual buyout | Each payment also buys back a small slice of the bank's ownership share |
| 4. Full ownership | Once you've bought out 100% of the bank's share, the property is fully yours |
Whichever route you choose — the standard product or the subsidized government scheme — the application itself runs through the same branch network and relationship-officer process, so switching between them mid-application is usually straightforward if your eligibility changes.
One more practical note: rates and eligibility criteria under government-backed housing schemes are periodically revised by the State Bank of Pakistan, so the specific size caps and subsidy windows described above should be confirmed at application time rather than assumed to be permanent.
Documents You'll Need to Apply
- Valid CNIC (and NICOP/POC for overseas applicants)
- Salary certificate or 6 months of bank statements for income proof
- Property documents (sale deed, allotment letter, or similar)
- Passport-size photographs
- Latest utility bill for address verification
- Tax return / NTN, where applicable
Bank Alfalah's own relationship officers verify these case-by-case, and additional documents may be requested depending on your employment type (salaried vs. self-employed) and whether you're applying under the standard Home Loan or the subsidized Apna Ghar Program route.
Ready to bank with Bank Alfalah?
Compare rates and accounts, or head straight to Bank Alfalah's official site to open an account or apply.