The Real Estate Development Fund is considering implementing new procedures to resume the disbursement of housing loans, which have been suspended for nearly a year and a half, with the aim of clearing all waiting lists over the next three years.
Well-informed sources indicated that the Fund is moving toward forming a partnership with local banks to process these applications in accordance with a number of guidelines, noting that these procedures will be submitted, once they have been reviewed, to the relevant authorities for official approval.
The sources explained that the Fund will implement a measure regarding the amount of mortgage loans; the maximum loan amount (500,000 riyals) will be disbursed only in accordance with regulations that ensure the borrower’s ability to repay, in order to guarantee the Fund’s ability to continue lending to other citizens.
It is worth noting that Housing Minister Majid Al-Hogail revealed over the past two days the Ministry’s plan to restructure the Real Estate Fund and introduce innovative financing programs.Al-Hogail explained during a recent meeting with Prince Fahd bin Bandar, Governor of Al-Jawf Region, at the governor’s office that the ministry has developed expansion plans to address these challenges.
