One of the key features for Naya Pakistan is to improve the housing situation for Pakistanis.
There is a shortfall of over 10 million houses, and every year we are adding to this backlog.
This government intends to promote access to housing to the people of Pakistan and jumpstart the housing sector.
Salient Features
The salient features of this housing is to make housing affordable to people are the following
The salient features of this housing is to make housing affordable to people are the following
- Increase buying power by providing loans of longer tenure fifteen to twenty years.
- Reduce cost by standardizing design and specifications.
- Reduce cost by significantly cutting down the approval time.
- Develop new communities with access to infrastructure.
- Reduce the upfront cost of builders by providing them land in installments and minimum time for approvals and infrastructure before start of construction.
- Provide project loans to builders so that they can complete housing project in the shortest possible time thus improving their ROI and at the same time reduce the investment period thus reducing the overall cost for the end consumer the main objective of this scheme
It is envisaged that by the above measures the cost would be 15 to 20% lower than the current market price and by providing long term loans we would enhance the number of people who can afford housing by 100% in the first three years. The current situation is about half a million people can afford to buy homes and apartments every year. Today we are formally launching this scheme with defined targets and milestones, which will need the following to be done in the time frame called out including a pilot registration scheme in 3 districts.
1.Foreclosure law implementation and enactment of new laws. Action: Ministry of law and Parliamentary affairs. Time period 3 months from today.
2.Creation of Provincial and Federal Naya Pakistan Housing Authority. Action: Ministry of Housing and works and Ministry of law and Parliamentary affairs. Time period: three months from today.
3.Arranging funds for Housing needs. Action: Ministry of finance. Time Period: three months from today. (Commercial banks to be also brought on board and at least 5% of their loan portfolio will be fixed for lending to builders and housing mortgage financing).
4.At the same strengthening of the remortgage finance market to be established. Action: State Bank of Pakistan. Time period: Six months
5.Selecting locations from existing Federal and Private property owners; Responsibility task force Time Period : Ongoing first 100,000 units next 45 days.
a. Developing Designs for the units; Responsibility task force next 60 days.
b. Pricing for each unit as per location through builders 120 days.
c. Launching of the scheme for booking of units 180 days from today.
d. Completion of first project and handing over of keys or possession of plots within 2yrs. of this date. Responsibility Task Force, NAYA Pakistan Housing Authority and Private Sector Builders
6. Every year targets given to all the stake holders are as per the table below which are indicative in nature and will be modified on studying the demand data which is collected every year through actual demand surveys and income levels.
Description | Year 1 | Year2 | Year3 | Year 4 | Year 5 |
One unit | 200000 | 200000 | 200000 | 250000 | 250000 |
Ground+ 3 | 100000 | 150000 | 200000 | 200000 | 200000 |
Additions to existing | 100000 | 250000 | 200000 | 200000 | 200000 |
Highrise | 50000 | 75000 | 100000 | 100000 | 100000 |
Midrise | 100000 | 150000 | 150000 | 150000 | 200000 |
Self-construction | 100000 | 150000 | 150000 | 150000 | 200000 |
Total | 650000 | 900000 | 10000000 | 1050000 | 1250000 |
Subtotal of those which will be built under APNA Housing Authority | 150000 | 400000 | 500000 | 500000 | 500000 |
7. At the same time guidelines will be developed and the existing approval process is to be streamlined to give approvals for the processing of applications. Steps which are taken for monitoring buildings are being done as per plans.
8. The last and most important to develop infrastructure for the plots and communities which are being built both under the APNA Housing authority as well as those for those developing and building properties outside this scheme. Responsibility If there are any further questions I would be willing to address them.
