Amlak says new product enhances eligibility for higher financing, monthly instalments 10 per cent lower in the first five years
Amlak Finance said it has launched Amlak Plus, which is claims is designed to tap into a new segment of customers in the UAE market by offering new and improved benefits than the normal home finance products and enhances customers’ eligibility for higher financing.
Amlak Plus is designed for young professionals, expatriates and new families with what it described as a “reasonable level” of disposable income to own a larger home. However, some might say that the soaring cost of living in the UAE makes that definition a bit of a tall order. Either way, Amlak seems to think it has something different to offer.
Amlak said the new product offers a unique opportunity for its customers to pay lower monthly rental, or Ijarah, in the initial years of their home financing, with the principal repayment starting at the very beginning of the finance tenor, hence reducing the overall profit outflow.
The finance tenor is divided into three phases, the first five years, next five years and the remaining tenor, with a financing period of up to 25 years.
Amlak Plus will allow customers to pay a 10 per cent lower monthly instalment and as much as one percentage point lower profit rate than normal Ijarah during the first five years. Following the first five years, the new profit rate applied would be the rate prevailing at that point and normal Ijarah monthly payment will apply throughout the duration of the financing.
Source: CPI Financial