Salient Features of Naya Pakistan Housing Program

Here are some salient features of the flagship project of PTI government to construct 5 million houses in five years. Lot of confusion still persists about this ambitious project. Some details have emerged so we are sharing it our readers to give them an idea about this mega project.  We have put the information in bullet points to give the clear idea.

1. 5 million (fifty hundred thousand) houses will be built in 5 years.
2. Rs 16 trillion rupees will be spent to build these houses.
3. Every year one million houses will be built at the cost of 3.2 trillion rupees.
4. The institutional framework will be in place in next 90 days after passing the housing authority bills from different provincial assemblies.
5. The government will provide the land to the private builders to build houses. These houses will be built on public- private partnership.
6. 20% amount will be raised from applicants as down payment and 80% will be borrowed from banks.
7. The banks will charge 10% mark up on house mortgage.
8. The mortgage will be paid in 20 years on monthly installments.
9. 2 million mortgages would be paid back on 18,564 rupees per month installment.  As mortgage will go up so goes the monthly installment.
10. Punjab government will run this project in six districts with the construction of 10,000 houses. The project will start from January 2019.
11. Punjab has identified 50,000 kanal of land in six districts to launch the housing projects.
12. The rent equalisation model will be adopted for ensuring provision of low cost housing.
13. Anyone having no house and capable of paying down payment and monthly installments will be eligible to apply for the provision of housing.
14. The houses will be constructed in rural, semi urban and urban areas of the country.