Developer Finance

Developer Finance in Pakistan is very limited. Presently, Primary Mortgage Lenders (PMLs) are providing housing finance to individual in higher income bracket. This excludes majority of population in low and middle income segment that is working in formal and informal sector. Recent development shows Government’s focus on low-cost housing and several measures have been taken by SBP to promote this sector. However, there is shortage in supply side of low-cost housing which has to be met with new projects. With the recent incentives of Government for construction sector, there is huge demand for developer finance. Purpose of this product is to provide funding for development of housing colonies/projects/apartments of entire amount during the tenor for which financing is being extended. PMRC will provide funding to PMLs which will then on-lent to builders/developers.


Type of Financing

  • Prefinance


*Product Criteria

  • Builder/Developer/team should possess a valid builder/developer license from building control authority, where applicable.
  • Builder/Developer must have at-least 3 years’ experience with good track record
  • There should be a clear and marketable title to the land, free of encumbrances, charges and liens on which the project will be built in case it is offered as collateral by the builders/sponsors


Registration certificate of the firm/company

  • Memorandum and Articles of Association/Partnership Deed/Business Charter (in case of Sole Proprietorship)
  • List of the technical staff
  • Pakistan Engineering Council certificate and experience certificates
  • List of recently completed projects (if any), along with copies of Completion Certificates submitted to concerned authorities
  • Any other document(s) required by the bank/DFI


Security Structure

Following securities can be considered as collateral for financing:

  • Assignment by way of security of a specific existing Mortgage Loan Portfolio or receivables from builders/developers
  • Any other security as may be required by and is acceptable to the Company such as PIBs & T-bills etc. (Alternate Security) in SGLA Account of PMRC.



  • Pre-finance 1 to 3 Years
  • Refinance as per weighted average life of portfolio with repricing at agreed frequency



  • Respective tenor PKRV +/- Spread


Repayment Frequency

  • Quarterly/Half Yearly


* Product Criteria is subject to change.

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  • Registered Address
  • Finance & Trade Center, 4th Floor, Block-A, Shahrah-e-Faisal, Karachi -74400, Pakistan.