Which Bank Is Best For House Loan In Pakistan [List Of Top 10 Banks]

Buying a home is a significant financial decision, and securing the right house loan (or home finance) is crucial. In Pakistan, several banks offer competitive home loan products with varying interest rates, loan amounts, and repayment terms.

This guide covers the top 10 banks for house loans in Pakistan, their eligibility criteria, loan amounts, interest rates, and application processes to help you make an informed decision.

Read More:

• House Loan In Pakistan (Interest-free Home Loan In Pakistan)
• Which Bank Is Best For House Loan In Pakistan [Sharia Compliant]

List of Banks Providing Home Loans In Pakistan | Compare, Select & Apply For Home Loan

List Of Top 10 Banks That Offer House Loans In Pakistan

1. HBL (Habib Bank Limited) – HBL Home Loan

• Loan Amount: Up to PKR 150 million
• Tenure: Up to 20 years
• Interest Rate: Variable (currently around 17-20% p.a.)

Eligibility:

• Salaried individuals (minimum salary PKR 50,000)
• Self-employed professionals/businessmen
• Age limit: 25–65 years
  Key Features:
• Quick approval
• Flexible repayment options
• Insurance coverage available

2. Meezan Bank – Easy Home (Islamic Financing)

• Loan Amount: Up to PKR 150 million
• Tenure: Up to 25 years
• Profit Rate: 12-16% p.a. (based on rental agreement)

Eligibility:

• Minimum salary PKR 50,000 (salaried)
• Business owners with stable income
• Age limit: 25–65 years
  Key Features:
• Sharia-compliant (Diminishing Musharakah)
• No hidden charges
• Low processing fees

3. Bank Alfalah – Home Easy

• Loan Amount: Up to PKR 100 million
• Tenure: Up to 20 years
• Interest Rate: 17-20% p.a. (variable)

Eligibility:

• Salaried (PKR 50,000+ monthly income)
• Self-employed with 2+ years of business
• Age limit: 25–60 years
  Key Features:
• Life insurance included
• Online application tracking

4. MCB Bank – MCB House Finance

• Loan Amount: Up to PKR 100 million
• Tenure: Up to 20 years
• Interest Rate: 18-21% p.a.

Eligibility:

• Minimum salary PKR 50,000
• Business owners with stable income
• Age limit: 25–65 years
  Key Features:
• Flexible repayment plans
• Mortgage insurance option

5. UBL (United Bank Limited) – UBL Aasan Ghar

• Loan Amount: Up to PKR 100 million
• Tenure: Up to 20 years
• Interest Rate: 17-20% p.a.

Eligibility:

• Salaried (PKR 50,000+ income)
• Businessmen with 3+ years of experience
• Age limit: 25–65 years
  Key Features:
• Fast processing
• Option for joint financing

6. Faysal Bank – Faysal Asaan Ghar

• Loan Amount: Up to PKR 80 million
• Tenure: Up to 20 years
• Interest Rate: 17-20% p.a.

Eligibility:

• Minimum salary PKR 50,000
• Business owners with 2+ years of operations
• Age limit: 25–65 years
  Key Features:
• Competitive markup rates
• Sharia-compliant option available

7. Standard Chartered – Saadiq Home Finance (Islamic)

• Loan Amount: Up to PKR 100 million
• Tenure: Up to 20 years
• Profit Rate: 12-16% p.a.

Eligibility:

• Salaried (PKR 100,000+ income)
• Self-employed with strong financials
• Age limit: 25–65 years
  Key Features:
• Islamic financing model
• High loan amounts for premium clients

8. Allied Bank – Allied Home Loan

• Loan Amount: Up to PKR 50 million
• Tenure: Up to 20 years
• Interest Rate: 18-21% p.a.

Eligibility:

• Minimum salary PKR 40,000
• Businessmen with 2+ years of operations
• Age limit: 25–65 years
  Key Features:
• Low processing fees
• Flexible down payment options

9. Askari Bank – Askari Home Loan

• Loan Amount: Up to PKR 100 million
• Tenure: Up to 20 years
• Interest Rate: 17-20% p.a.

Eligibility:

• Salaried (PKR 50,000+ income)
• Businessmen with stable earnings
• Age limit: 25–65 years
  Key Features:
• Competitive rates
• Easy documentation

10. Bank Islami – Home Plus (Islamic Financing)

• Loan Amount: Up to PKR 100 million
• Tenure: Up to 20 years
• Profit Rate: 12-16% p.a.

Eligibility:

• Minimum salary PKR 50,000
• Business owners with stable income
• Age limit: 25–65 years
  Key Features:
• Sharia-compliant
• No penalty for early settlement

General Eligibility Criteria for House Loans in Pakistan

Most banks require:
✅ Minimum income (usually PKR 50,000+ for salaried individuals)
✅ Age limit (25–65 years)
✅ Employment/business stability (2–3 years minimum)
✅ Property valuation (bank-approved property)
✅ Down payment (20–30% of property value)

Application Process for a House Loan

1. Check Eligibility – Confirm income, age, and employment status.
2. Choose a Bank – Compare interest rates and loan terms.
3. Submit Documents – CNIC, salary slips, property documents, etc.
4. Property Valuation – The bank assesses the property’s worth.
5. Loan Approval – The Bank reviews and approves the loan.
6. Sign Agreement – Legal documentation is completed.
7. Disbursement – Funds are transferred to the seller/developer.

🏦 Comparison of Best House Loan Banks in Pakistan

Bank	Loan Product	Max Loan Amount	Interest/Profit Rate (p.a.)	Min. Salary Requirement
HBL	HBL Home Loan	PKR 150 million	17% – 20% (variable)	PKR 50,000+
Meezan Bank	Easy Home (Islamic)	PKR 150 million	12% – 16% (rental-based)	PKR 50,000+
Bank Alfalah	Home Easy	PKR 100 million	17% – 20% (variable)	PKR 50,000+
MCB Bank	MCB House Finance	PKR 100 million	18% – 21% (variable)	PKR 50,000+
UBL	UBL Aasan Ghar	PKR 100 million	17% – 20% (variable)	PKR 50,000+
Faysal Bank	Faysal Asaan Ghar	PKR 80 million	17% – 20% (variable)	PKR 50,000+
Standard Chartered	Saadiq Home Finance (Islamic)	PKR 100 million	12% – 16% (rental-based)	PKR 100,000+
Allied Bank	Allied Home Loan	PKR 50 million	18% – 21% (variable)	PKR 40,000+
Askari Bank	Askari Home Loan	PKR 100 million	17% – 20% (variable)	PKR 50,000+
Bank Islami	Home Plus (Islamic)	PKR 100 million	12% – 16% (rental-based)	PKR 50,000+

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🔍 Key Takeaways from the Comparison

✅ Highest Loan Amount: HBL & Meezan Bank (PKR 150 million)
✅ Longest Tenure: Meezan Bank (25 years)
✅ Lowest Interest/Profit Rate: Meezan Bank, Standard Chartered, Bank Islami (12% – 16%)
✅ Best for Islamic Financing: Meezan Bank, Bank Islami, Faysal Bank
✅ Lowest Salary Requirement: Allied Bank (PKR 40,000)

💡 Which Bank Should You Choose?

• For Lowest Rates: Meezan Bank, Standard Chartered, Bank Islami (Islamic options)
• For High Loan Amount: HBL, Meezan Bank
• For Fast Processing: UBL, HBL, Bank Alfalah
• For Flexible Terms: MCB, Askari Bank

Note: Interest rates and policies may vary—always confirm with the bank before applying.

Interest-Free Home Loan Options in Pakistan (Alternatives to Bank Loans)

Since conventional bank loans in Pakistan involve interest (riba), which is prohibited in Islam, many Muslims seek Sharia-compliant, interest-free alternatives for home financing. Below are some halal options to buy a house without dealing with interest-based loans.

1. Islamic Banks & Housing Schemes (Diminishing Musharakah & Ijarah)

Several Islamic banks offer Sharia-compliant home financing under Diminishing Musharakah (co-ownership) or Ijarah (rent-to-own) models.

Top Islamic Banks for Interest-Free Home Financing

Bank	Financing Model	Max Amount	Tenure	Profit Rate (Approx.)	Key Features
Meezan Bank	Diminishing Musharakah	PKR 150M	25 years	12% – 16% (rental rate)	No interest, flexible terms
Bank Islami	Home Plus (Islamic)	PKR 100M	20 years	12% – 16%	No penalty on early payment
Dubai Islamic Bank	Musharakah & Ijarah	PKR 100M	20 years	13% – 17%	Sharia-compliant
Al Baraka Bank	Islamic Home Finance	PKR 80M	15 years	14% – 18%	Ethical financing

How It Works:

• Diminishing Musharakah: The bank and buyer co-own the property. The buyer gradually buys the bank’s share through monthly payments.
• Ijarah (Lease-to-Own): The bank buys the house and leases it to you. A portion of rent payments goes toward ownership.

✅ Pros:
✔ No interest (riba-free)
✔ Flexible payment plans
✔ Legally recognized

❌ Cons:
✖ Higher profit rates than conventional loans
✖ Strict eligibility criteria

2. Government Housing Schemes (Interest-Free or Subsidized)

The Pakistani government occasionally launches interest-free or low-cost housing schemes for low and middle-income families.

Current & Past Government Housing Schemes

Scheme	Provider	Loan Amount	Interest Rate	Eligibility
Naya Pakistan Housing Scheme (NPHP)	Govt. of Pakistan	PKR 3M – 10M	Subsidized (~5-7%)	Low-income families
Awami Mushtarak Bank (AMB) Scheme	Punjab Govt.	PKR 2M – 5M	0% (Interest-Free)	Low-income groups
Prime Minister’s Low-Cost Housing	State Bank of Pakistan	PKR 2.7M – 6M	5% (Subsidized)	First-time buyers

How to Apply:

• Visit the Naya Pakistan Housing Portal
• Submit documents (CNIC, income proof)
• Await balloting (if selected, get a subsidized loan)

✅ Pros:
✔ Low or zero interest
✔ Affordable for low-income families

❌ Cons:
✖ Limited availability
✖ Long waiting periods

3. Employer-Based Housing Loans (Interest-Free or Soft Loans)

Some government and private sector employers offer interest-free or low-interest housing loans to employees.

Examples:

• Government Employees:
  • Federal Govt. Housing Foundation (FGHA) – Interest-free loans
  • Punjab Govt. Housing Schemes – Subsidized rates
• Private Companies:
  • HBL, UBL, Engro, etc. – Soft loans for employees

How It Works:

• Check if your employer offers housing finance
• Submit salary slips and employment proof
• Get approval based on company policy

✅ Pros:
✔ No or low interest
✔ Easier approval

❌ Cons:
✖ Limited to employees
✖ May have lower loan amounts

4. Community-Based & Cooperative Housing (Qard-e-Hasana & Group Financing)

Some Islamic cooperatives and community groups offer Qard-e-Hasana (interest-free loans) for housing.

Options:

• Akhuwat Foundation – Provides interest-free loans for low-income families
• Islamic Relief Pakistan – Housing support for flood-affected people
• Local Mosque Committees – Some mosques offer small Qard-e-Hasana loans

How It Works:

• Apply through the organization
• Provide guarantors (if required)
• Repay in installments without interest

✅ Pros:
✔ Truly interest-free
✔ Ethical and community-based

❌ Cons:
✖ Small loan amounts (usually PKR 500K – 2M)
✖ Limited availability

5. Personal Savings & Family Support (Avoiding Loans Altogether)

The best halal alternative is to save money or seek family help instead of taking a loan.

Strategies:

• Monthly Savings Plan – Deposit in Islamic banks (e.g., Meezan’s Savings Certificates)
• Joint Family Purchase – Pool resources with relatives
• Rent First, Buy Later – Save while renting, then buy in cash

✅ Pros:
✔ No debt or interest
✔ Full ownership from day one

❌ Cons:
✖ Requires long-term savings discipline

Final Verdict: What is the best interest-free home financing option?

Option	Best For	Loan Amount	Interest Rate	Risk Level
Islamic Banks	Middle/High-income	PKR 50 M+	12% – 16% (rent)	Low
Govt. Schemes (NPHP)	Low-income families	PKR 2M – 10M	0% – 7%	Medium (long wait)
Employer Loans	Govt./Corporate employees	PKR 1M – 5M	0% – 5%	Low
Community Loans (Akhuwat)	Low-income groups	PKR 500K – 2M	0%	High (limited funds)
Personal Savings	Those avoiding debt	N/A	0%	None

Recommendation:

• If you need a large loan, go for Meezan Bank or Bank Islami.
• If you’re low-income, apply for the Naya Pakistan Housing Scheme.
• If possible, save & avoid loans altogether.

Would you like help choosing the best option based on your income and needs? Let me know! 🚀

FAQs | House Loan in Pakistan

Final Thoughts

Interest-free home loans are available in Pakistan through Islamic banks, government schemes, and NGOs. You can choose based on your income, eligibility, and long-term plans.

Need personalized advice? Ask in the comments! 🚀