Mera Ghar Mera Ashiana - The Federal Government’s Subsidized Housing Scheme

If you have been confused by the changing names of housing schemes in Pakistan, you are not alone. While the Punjab Government has "Apni Chat Apna Ghar," the Federal Government of Pakistan, through the State Bank (SBP), has officially re-launched and rebranded its flagship housing finance facility as Mera Ghar Mera Ashiana (MGMA).

This scheme is the successor to the famous Mera Pakistan Mera Ghar (MPMG) but comes with updated limits and strictly focused subsidies for first-time homeowners. Here is the complete breakdown of the latest terms.

What is Mera Ghar Mera Ashiana?

Mera Ghar Mera Ashiana is a markup subsidy scheme designed to make home ownership affordable for low-to-middle-income earners. The key benefit is that the Government of Pakistan pays a portion of your interest (markup) for the first 10 years, keeping your monthly installments significantly lower than standard commercial loans.

Latest Updates

Re-Launch Status: The scheme is fully active across almost all Islamic and Conventional banks (Meezan, HBL, BOP, NBP, etc.).
Focus: The subsidy is now strictly targeted at smaller housing units (up to 5 Marla) to ensure the benefit reaches those who need it most.
No Processing Fee: Banks are instructed to charge Zero (0) processing fees for this specific scheme.

Loan Tiers & Markup Rates

Unlike the old scheme which had three tiers, the new MGMA is primarily focused on two key tiers for subsidized financing.

Tier 1 (Small Housing / NAPHDA)

Max Loan Amount: Up to PKR 2 Million (20 Lakh).
House Size: Up to 5 Marla (125 sq. yds) or Apartment up to 1,360 sq. ft.
Markup Rate:
Years 1-10: 5% Fixed (Government pays the rest).
Years 11-20: Market Rate (KIBOR + Spread).
Best For: Construction on a small plot you already own or buying a low-cost unit.

Tier 2 (General Housing)

Max Loan Amount: Above 2 Million up to PKR 3.5 Million (35 Lakh).
House Size: Up to 5 Marla (125 sq. yds) or Apartment up to 1,360 sq. ft.
Markup Rate:
Years 1-10: 8% Fixed.
Years 11-20: Market Rate (KIBOR + Spread).
Best For: Buying a constructed 3-5 Marla house in a regular colony.

Note: If you need a loan bigger than 3.5 Million (e.g., 1 Crore), you will likely not fall under this specific subsidized "Mera Ghar Mera Ashiana" bracket and will have to apply for the bank's regular home loan at normal interest rates (20%+).

Eligibility Criteria

To apply for MGMA, you must meet these simple checks:

Citizenship: Pakistani National with a valid CNIC.
First-Time Owner: You must not currently own a house. This scheme is strictly for your first home.
Income: You must have a verifiable monthly income (Salary slip or Business proof).

Minimum Income Requirement: Usually starts from PKR 40,000+, but varies by bank.

How to Apply: The Color-Coded Forms

The application process is physical, not digital. You must visit a bank branch. The State Bank has standardized the application forms into three colors to make it easier for different applicants:

Form ColorWho is it for?Green FormSalaried Individuals (Private or Govt employees with pay slips).Blue FormBusiness Owners (Shopkeepers, Traders with NTN/Bank Statements).Pink FormInformal Income (Freelancers, workers with no strict documented income).

Steps to Apply:

Visit a Bank: Go to any major bank (Meezan Bank and Bank of Punjab are highly active).
Ask for the MGMA Desk: Do not just say "Home Loan," specifically ask for "Mera Ghar Mera Ashiana."
Submit Documents:

CNIC & 2 Photos.
Income Proof (Salary slip / 6-months bank statement).
Property Documents (Fard, Registry, or Allotment letter of the house you want to buy).

Processing: The bank will evaluate your property and income. This usually takes 3-6 weeks.

Comparison: MGMA (Federal) vs. Apni Chat Apna Ghar (Punjab)

Many people confuse these two. Here is the difference:

Mera Ghar Mera Ashiana (Federal/SBP):
Loan up to 35 Lakh.
You pay 5% - 8% Interest.
You deal with Banks (Meezan, HBL, etc.).
Available all over Pakistan.
Apni Chat Apna Ghar (Punjab Govt):
Loan up to 15 Lakh.
You pay 0% Interest.
You deal with PHATA / Punjab Govt Portal.
Available only in Punjab.

If you are looking to buy a house worth 30-50 Lakh, the Mera Ghar Mera Ashiana scheme is your best route. While it is not interest-free like the Punjab scheme, it offers a much higher loan limit (35 Lakh vs 15 Lakh), which is often necessary to buy a decent family home in today's market.

Visit your nearest bank branch today and pick up the Green, Blue, or Pink form!

State Bank Pakistan Relaunches Mera Ghar Mera Ashiyana