Govt again extends deadline for housing loan applications
The new deadline for applications is now set for 31st May 2025.
The Ministry of Housing has once again extended the deadline for applying for the 'Hiyaavehi' loan scheme, a key housing initiative under President Dr. Mohamed Muizzu’s administration.
The new deadline for applications is now set for 31st May 2025.
Launched on 8th November 2024, the scheme aims to support individuals who own land but lack the financial means to build homes. This marks the second deadline extension, reflecting continued high demand and logistical challenges faced by applicants.
Construction Minister Dr. Abdulla Muththalib stated the extension was granted due to increasing public requests, with many applicants requiring more time to complete essential documentation such as construction drawings and Bills of Quantities (BOQs).
The 'Hiyaavehi' loan offers the following terms:
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Interest Rate: 5%
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Repayment Term: Up to 25 years (subject to bank's assessment based on applicant's age)
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Grace Period: Maximum 18 months
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Collateral: Land registry must be mortgaged to the bank
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Usage: Loans can be used for both new constructions and completion of partially built homes
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Disbursement: Maximum 15% advance; further payments based on project progress
Applicants will undergo financial screening to assess repayment capability before being approved.
Three loan categories are available based on location:
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Housing Finance – Islands: Up to MVR 1 million, no equity required
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Housing Finance – Urban: Up to MVR 3 million, 5–10% equity required
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Housing Finance – Malé: Up to MVR 6 million, 5–10% equity required
