Housing Development Financing Corporation (HDFC) has introduced a feasible housing loan scheme targeted to youths.
HDFC finances several housing projects including housing loan schemes; with the introduction of the "Youth Product" the bank aims to finance youths aged between 21 and 35 to purchase apartments or flats from the satellite town of Hulhumale' that is steadily growing in urban infrastructure.
The corporation has announced the loans will be issued for a 10.9% interest rate with a 30 year settlement duration. The debtors must place 15% of the loan amount as depository at the bank before acquiring the housing loan.
HDFC states the aim of the loan scheme ease the difficulty faced by individuals in keeping an 'owner's equity' since Maldives does not have a savings tradition generally. The equity percentage offered by HDFC's new Youth Product is by the far the lowest equity value from a local bank for housing loans.
