The Bank of Maldives (BML) has announced a series of enhancements to its housing finance products, introducing greater flexibility and accessibility for homebuyers and property developers across the country.
At a press conference, BML’s Retail Banking Director, Mohamed Badhruddeen, outlined the changes, emphasizing the bank’s commitment to making homeownership more attainable. He stated that the new policies aim to facilitate housing development while easing financial burdens on borrowers through lower monthly repayments.
One of the most significant adjustments includes an increase in the financing amount available for home construction. Previously, BML offered loans of up to USD 64,850 for building homes in select islands. With the latest update, this amount has doubled to USD 129,700, ensuring greater financial support for housing projects.
Additionally, BML Islamic’s Head of Retail, Mariyam Shiraany, highlighted the broader coverage of the bank’s loan products. While financing was previously restricted to purchasing apartments, row houses, and single housing units, the new policies now include funding for land purchases and parking spaces, offering customers more choices in securing their ideal home.
The modifications also extend to down payment requirements, making it easier for buyers to qualify for financing. According to Shiraany, an individual purchasing a USD 195,000 property will now need only a 10% down payment, a reduction from the previous requirement. For properties valued between USD 195,000 and USD 324,254, the down payment has been revised to 15%, while properties exceeding this range will require 20% equity.
“These adjustments significantly reduce the financial strain on homebuyers,” Shiraany explained. “For instance, the USD 39,000 down payment that was previously required for a USD 324,254 property will now be reduced to USD 19,455, making homeownership more feasible.”
In another key update, funds from retirement pension schemes can now be used as down payments, either individually or as a joint contribution between multiple borrowers.
Extended Loan Repayment Period and Higher Maximum Financing
BML has also revised its repayment period for home construction loans, extending the tenure from 15 years to 20 years to ease monthly repayment pressures. The maximum financing amount available for home construction has increased substantially from USD 972,000 to USD 2.9 million, further broadening access to funds for large-scale housing projects.
Meanwhile, the home build financing limit has also been raised to USD 129,700, with the income requirement reduced, enabling a wider pool of customers to qualify.
The changes come as part of BML’s broader efforts to support housing development in the Maldives, reflecting a strategic move to boost economic growth while providing long-term financial solutions for aspiring homeowners.
