Thinking of remodelling your kitchen to fulfill your wife's long awaited wish, or build a study area for your kids, or a cozy library for your parents, or just want to give your home a new look? you plan it, we'll help you renovate it.

Construction Tenure Maximum 6 months
Financing Tenure2-7 Years
Financing RangeRs. 150K –5M
Bank Investment RatioMaximum up to 70% for salaried
Maximum up to 65% for SEP *
(* Doctors, Engineers, Architectures, Chartered Accountants)

Maximum up to 50% for Business persons/NRPs
Prepayment Option availableNo extra charges apply on early unit purchase/ early termination after 12 months of completion.
In case Customer applies for purchase of early units or pre-payment within 12 months of completion, additional Musharakah Units will be revalued at 5% higher than face value.
 

The MUSKUN Home financing facility is based on the principle of Diminishing Musharakah and Ijarah. The Diminishing Musharakah transaction is based on Shirkat-ul-Milk where you and the Bank participate in ownership of a property.

The share of the bank is then leased to you on the basis of Ijarah and is divided into a number of units. It is then agreed that you will buy the units of the bank periodically, thereby increasing your own share till all the units of the Bank are purchased by you which will make you the sole owner of the property.

Till that time, you pay the Bank rent for its units leased to you. The rent keeps on decreasing as your ownership in the property increases and that of the Bank decreases.

Benefits:

  • Quick Processing
  • Financing up to 50% to 70% of the value of the property
  • Financing limit Rs. 50 Million
  • Tenor up to 25 years
  • No pre payment additional price charged after one year & completion
  • Flexible & Affordable installments
  • Clubbing of family income
  • No Negative Area
  • You will approach BankIslami and inform about your needs of financing for Home Purchase, Construction, Renovation or Balance transfer facility
  • You will then submit the filled Application Form along with the required documents and a cheque for processing fee. Our Business Executive will guide you during the whole process.
  • The Bank will conduct verification of your residence & office addresses as well as those of the references provided by you
  • The Bank will then conduct your Income estimation to determine the maximum financing that can be provided to you. In case you are Self Employed, our agent will approach you for the necessary income details and documents. In case you are Salaried, we will approach your employer for this purpose
  • A legal opinion is then obtained by the Bank on the property documents submitted by you
  • Valuation of the property is done to determine its Market value
  • The Bank then issues you an offer letter for the financing amount you qualified for based on your evaluation
  • After your acceptance, a Shirkat-ul-Milk (Musharaka) Agreement is signed between you and the Bank, whereby, the Bank and you will become joint owners (partners) in the Musharakah property.
  • A Pay Order is issued in the name of the seller in case of MUSKUN Home purchase by the bank. Your Business Executive and our in house / Externa lawyer will accompany you for the transfer of property in your name. The Pay Order is then handed over to the seller. In case of MUSKUN Home Construction / Renovation / Replacement Cases, the financing amount is simply credited to your account. It is ensured through Shariah-compliance checks that the funds are utilized only for construction/renovation/replacement.
  • You and the Bank also execute a Monthly Payment Agreement whereby you agree to pay a monthly payment to the Bank for the use of the bank's ownership in home
  • Undertaking to Purchase is given by you, under which you undertake to purchase the Musharakah Units (representing Bank's undivided ownership share in the property) from the Bank periodically.
  • On monthly basis, you purchase Musharakah units from the Bank
  • When you have purchased all units of Bank, you become the sole owner with a free and clear title to your home

BankIslami's commitment to Shariah is strict and absolute. We have the distinction of being the only Bank to have a full time Shariah adviser as well as having a prestigious local Shariah board of global repute. Muskun Home financing products are approved and verified by our Shariah Board. To view our Shariah Board's approval of Muskun Home Financing products, click on the following:

Note:

Chain of Title documents provided must be original.

Home/Apartment to be financed must be for Residential purpose only.

Permission to Mortgage, Bill of Quantity and approved Building plan must be provided at the time of financing.

The Profit rate used to calculate the monthly rentals is 1 Year KIBOR +3.5%.

This product is based on the mode of Diminishing Musharakah.

CitizenshipPakistani
CitiesAll major cities where BIPL Branch exist.
Age Limit Salaried/Businessmen/Selected Professionals:
Primary Applicant: 25-65 Years
Co- Applicant: 21-70 Years
NRPs:
Primary Applicant: 25-60 Years.
Co- Applicant: 21-70 Years.
Employment Tenure Salaried:
Minimum 6 months at current employment and 2 years continuous employment experience in the same industry/field.
Businessmen:
3 years of business / practice.
Minimum Income Salaried: Rs. 51,000/-
Business man: Rs. 75,000/-
NRPs: Rs. 150,000/-
Additional Criteria for NRPs 1. An NRP needs to have a Co-applicant residing in Pakistan as an Authorized Person on behalf of the NRP.
2. Only Salaried NRPs can avail MUSKUN Home Financing.
BIR 50% to 70%

Documents Required

  • General
    • Copy of CNIC (Applicant and Co-applicant)
    • 2 passport size photographs (Applicant and Co-applicant)
    • Completely filled Application form with Applicant's Profile Report
    • Copies of Last 6 months paid utility bills
  • Property Documents
    • Copy of chain of all title documents
    • Approved Building plan
    • Public notice
  • For Salaried Persons
    • Employment certificate issued by employer
    • Last three Salary Slips
    • Bank Statement of last 12 months
    • Detail of other financing along with its repayment
  • For Businessmen
    • Income tax return for last three years , Proprietorship Letter/Partnership ded/ Memorandum and Articles of Association
    • Company Bank Statment of last 12 months
    • Detail of other financing along with its repayment
  • For NRPs

    We offer NRPs (only Salaried segment) purchase/construct/renovate/balance transfer facility of a House/Property only in Pakistan only

    • Last three months Salary Slip
    • Copy of Passport
    • Copy of NICOP
    • VISA/residential status proof
    • Tax deduction details
    • Employment Certificate and Contract Copy
    • Bank Letter and Banks Statement of last 12 months
    • 2 passport-sized colored Photographs of Applicant / Co-Applicant
    • All the above mentioned documents relating to NRP should be duly attested by Pakistani Consulate

Q. What are the minimum and maximum financing limit for MUSKUN-Islami Home Financing?

  • Home Purchase: Rs. 200K – 50M
    Home Construction: Rs. 200K – 50M
    Home Renovation: Rs. 150K – 5M
    Balance Transfer: Rs. 200K – 50M

Q. What is the minimum and maximum tenure being offered by BankIslami?

  • Home Purchase/Construction/BTF: 2-20 Years
    Home Renovation: 2-7 Years

Q. What condition would apply in case of Co-applicant case?

  • Co-applicant must be member of the immediate family i.e Spouse, Parents & Children only

Q. Which areas are considered "positive" for MUSKUN-Islami Home Financing?

  • No negative area is marked by BankIslami for MUSKUN-Islami Home Financing

Q. What is charged if pre-mature payment (early payment or termination) of MUSKUN-Islami Home Financing is done?

  • In case any pre-mature payment is done before first installments are paid, Bank will sell the Musharakah units at a higher price (increased by 5%). No higher price will be recovered on premature payment which includes partial or full payment of installments after the first 12 installments have been paid by the Customer.

Q. Who will assess the value of property?

  • We have our approved valuators for this purpose

Q. Will my spouse's income also be considered?

  • Yes, 100% of your spouse's income (Wife or Husband) can be clubbed for Debt burden calculation. In addition 50% of your sibling's income can also be clubbed for Debt burden calculation

Q. In case of Muskun Home Construction financing, will I get the total financing amount at the same time?

  • No, The Bank will disburse the payment in tranches (Maximum 4 tranches) as per BOQ (Bill of Quantity) provided by you

Q. Will BankIslami provide me financing for commercial purposes for example building a commercial plaza?

  • MUSKUN Home Financing is a Consumer-financing product and is only meant for residential purposes