Status and Options of Housing Loans in Nepal
The demand for housing loans in Nepal has been increasing steadily as people aspire to own their homes or invest in real estate. The growing interest has led to increased engagement from financial institutions, to provide “home loan” or mortgage loan to interested individuals. Nearly every prominent bank in Nepal offers a form of home loans to individuals seeking assistance in acquiring properties.
In this article, we will explore the current status and available options of housing loans in Nepal, empowering prospective homeowners with the knowledge they need to navigate this financial aspect efficiently.
Options of Housing Loans in Nepal
Financial Institutions in Nepal provide housing loans basically for three purposes which are construction of house, purchase of house/land and renovation/repair of building
Here, we have mentioned the list of financial institutions offering housing loans to prospective buyers in Nepal.
Nepal Bank Home Loan
Nepal Bank offers home loans for purchase of building, land and constructions or renovations of houses. Loan tenure can be up to 20 years and various documents related to income statement, collateral and personal identification has to be presented for approval.
For more information, you can visit their website through this official link.
Nabil Bank Home Loan
Nabil Bank offers flexible Home Loan where tenure can be up to 35 years and amount can be up to NPR 50 Million. Various documents related to income proof, collateral are to be presented for approval.
For more information, you can visit their website through this official link.
NIC Asia Bank Home Loan
Individuals must be of minimum 21 years age to take the Home Loan facility from NIC Asia Bank, and loan amount can be minimum NPR 0.4 million to maximum NPR 5 million. Various documents are to be presented for approval and amount can be used for purchase, construction and renovation of house.
For more information, you can visit their website through this official link.
NMB Bank Home Loan
NMB Bank offers affordable and flexible Home Loans for purchase, construction, extension and renovation of your dream home. Individuals of 25-65 years can facilitate from this service by NMB Bank. Salaried Individuals, Businessman with approved documents can benefit from this service.
For more information, you can visit their website through this official link.
Siddhartha Bank Home Loan
Individuals with valid income source and documents are eligible for Home Loan from Siddhartha Bank. You need to present collateral, income source and personal identification documents to be eligible for Home loans.
For more information, you can visit their website through this official link.
Muktinath Bikas Bank Home Loan
Muktinath Bikas Bank facilitates home loan for residential purpose, construction or renovation of residential building. Loan amount can be up to 1.5 crores and interest rates varies as per base rates.
For more information, you can visit their website through this official link.
Himalayan Bank Home Loan
Himalayan Bank offers Home Loan to eligible individuals of at least 21 Years of age having stable, steady and reliable source of income from job, rent, pension, remittance supported by the document. Loan tenure can be of 3 to 25 years and amount can be of minimum Rs. 5 lakhs to Rs. 1 crore 50 lakhs.
For more information, you can visit their website through this official link.
Everest Bank Home Loan
Individuals must not be of more than 60 years age ta take home loan facility from Everest Bank. Loan can be obtained for construction & purchase of house and its repairs or renovation. Loan tenure can be of 20 years and interest rate varies as per market conditions.
For more information, you can visit their website through this official link.
Garima Bikas Bank Home Loan
Garima Bikas Bank offers Home Loan to interested individuals for purchase, construction and renovation of houses. The maximum tenure for loan can be up to 30 years and has to be repaid through Equated Monthly Installment (EMI) basis.
For more information, you can visit their website through this official link.
Interest Rates and Payment Terms
The interest rates for housing loans in Nepal vary based on factors such as the loan amount, repayment tenure and policies of the bank. Repayment terms usually range from 5 to 35 years, allowing borrowers flexibility in choosing a tenure that suits their financial capabilities.
Eligibilty Criteria and Documentation
To apply for a housing loan in Nepal, borrowers must meet certain eligibility criteria set by financial institutions. These criteria typically include a minimum age requirement, income stability, and creditworthiness. Documentation requirements generally include proof of identity, income statements, property-related documents, and a completed loan application form.
For complete eligibility criteria, interest rate and documentation, please visit the official links of respective banks mentioned in the blog.
Conclusion
The availability of housing loans in Nepal has opened doors of opportunity for individuals and families to fulfil their dream of homeownership. With a range of loan options tailored to specific needs, prospective borrowers can find a suitable financing solution.
Aspiring homeowners should thoroughly research various lenders, compare interest rates, repayment terms, and other associated costs before making a final decision. By understanding the current status and options of housing loans in Nepal, individuals can take confident steps towards realizing their housing aspirations.
