Housing loans rolled out for low-income families

By Rammani Dahal,Makwanpur, Mar. 19: Locals living in Hetauda Sub-Metropolitan City will now receive loan assistance to construct housing at cost-effective rates, with a focus on low-income groups.

The housing construction support will be provided through a collaborative programme involving Hetauda Sub-Metropolitan City, Lumanti, and Kamana Sewa Development Bank.

According to Shanti Baruwal, social facilitator for Lumanti’s housing construction programme, the initiative aims to provide both financial and technical assistance to low-income residents within the sub-metropolitan area for building new homes or improving and repairing existing ones.

Under the programme, eligible low-income locals can receive loan support for constructing or upgrading houses, up to a single-storey concrete (RCC) structure.

Individuals may obtain loans of up to Rs. 700,000 for housing construction or renovation, while group housing projects may receive up to Rs. 1,500,000.

Baruwal stated that the annual interest rate will be fixed at 8 per cent and will not increase for a period of seven years. Borrowers may repay the loan early without incurring any additional charges. 

After construction is completed, beneficiaries will be required to pay monthly instalments of Rs. 10,500. 

No service fees will be charged during the loan process. To be eligible for the loan, applicants must submit recommendations from the relevant tole (community) development organisation and ward office, along with land ownership certificates, a land map and a copy of citizenship. 

Applicants must also have paid land revenue and property taxes to the sub-metropolitan or ward office.

The programme will provide loans and technical support for housing construction and improvements to low-income locals of the city based on demand.