Engineer Yousef bin Abdullah Al-Zughaibi Engineer Yousef bin Abdullah Al-Zughaibi revealed that the decisions will be an important qualitative leap for the Fund's work and transform it from a service to an investment institution, stressing that starting to disburse investment loans to developers is important in the speedy recycling of the Real Estate Fund's capital, and at the same time raising competitiveness in pumping economic housing units, suitable for loan recipients, and even housing subsidies.
These programs benefit applicants to the Real Estate Fund and the housing subsidy program. It is worth noting that the Fund issued last Wednesday seven decisions, including the executive regulations for investment loans, raising the age of the virtual building to twenty-five years, instead of twenty, for all those eligible for a residential mortgage loan after verifying the technical requirements of the building.
Also, allowing those who wish to invest in investment loans to developers is important to speed up the circulation of the Real Estate Fund's capital. It also allows those who wish to build one or more additional housing units on their building previously financed with a loan from the Fund to be in the name of one of the children or relatives who were approved for the loan to apply his loan to it, which applies specifically to residential buildings, and this step aims to address the issue of high prices of land suitable for multi-storey construction.
The Fund also approved the executive regulations for investment loans. <The Fund also agreed to grant a group of borrowers joint loans on one land to build several housing units on it, which will later be sorted by a deed for each unit separately in the name of its owner borrower, in addition to approving the financing of the Fund's loans with the (off-plan sale) system to enable those approved for the loan to buy housing units on the map from qualified developers on the program, and the Fund will finance the construction not exceeding the value of the loan and disburse payments in the (escrow) account designated for that according to the Fund's payment disbursement system, and about this approach Al-Zughaibi explained: He added: This matter will support the real estate development sector, especially companies with a good reputation in housing construction, which have completed the procedures for selling on the map, which are basically procedures that ensure the safety and quality of residential products constructed by the real estate developer, and I believe that the guarantee of transferring the full value of the loan and one payment. I believe that guaranteeing the transfer of the value of the loan in full, and one payment, enhances the tendency to expand residential development, as well as regulating the development market by encouraging companies to obtain an off-plan sales license.
The Fund said in a statement.
The Fund explained in a statement that its Board of Directors also approved the application of the (early home ownership) program so that the borrower on the waiting list who is expected to be approved within a period not exceeding three years can buy a housing unit from developers, whether ready or off-plan, and the Fund guarantees to pay the value of the loan to the seller when the loan is approved.
The Fund also agreed to waive the transfer of the value of the loan in full and in one payment. The Fund also approved the assignment of the (loan application) submitted to the Fund from one person to another person who has a first-degree kinship relationship with the applicant (parents, children and brothers) who meet the conditions of the loan if there are humanitarian reasons for this.
In a statement, the Vice Chairman of the Board of Directors and General Manager of the Fund, Engineer Yousef bin Abdullah Al-Zughaibi, thanked the Chairman and members of the Board for their support for the Fund's development directions and their approval of solutions and initiatives that would enable and facilitate citizens' access to housing.
He said
He said: With these decisions, the Fund has entered an important stage in its career to effectively contribute to the realization of the vision of the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud - may God protect him - to provide adequate housing for every citizen, pointing out that the Fund has enjoyed throughout its journey permanent care and continuous support from the rulers of this blessed country, which had a great impact in enhancing the Fund's developmental role and helping it achieve the development goals set for the housing sector.
He said that the Fund's developmental orientations and approval of solutions and initiatives that will enable and facilitate access to housing.
