More mortgage loans for home buyers in undeveloped areas

Financial Tribune – A total of 9,070 loans from the resources of the “Housing Savings Account” scheme of Bank Maskan, the agent bank of Iran’s housing sector, were granted to applicants planning to purchase new homes in undeveloped urban areas in the last fiscal year (March 2018-19).

According to Mohammad Ayeeni, a board member of the Urban Regeneration Company of Iran, the figure shows more than a 97% increase compared with 4,545 loans granted in the Iranian year ending March 2018, HIBNA reported.

“Mortgage loans granted to prospective new homes buyers in undeveloped areas accounted for 15% of total HSA loans granted to applicants last year compared with 10% in the year ending March 2018,” he said.

“Plans are to increase the number of mortgage loans for buying new homes in such areas to 12,000 by the end of the [fiscal] current year [March 19, 2020].”

Ayeeni noted that a new initiative will be rolled out soon for providing prospective home buyers with the opportunity to take out mortgage loans for the upfront purchase of homes in undeveloped areas as soon as they open HSA deposit accounts at Bank Maskan.

“Once approved and implemented, this new step will help expedite the revival of undeveloped areas, increase first-time home buyers’ chances of owning a house, which will in turn invigorate the real estate market,” he said.