REDF and SNB Sign a Framework Agreement to Finance Housing Support Programs
The Real Estate Development Fund (REDF) and the Saudi National Bank (SNB) signed a framework agreement today to finance housing support packages under the refreshed housing support program as part of their efforts to promote continued mutual cooperation and accelerate the process of home ownership for families in line with the objectives of the Housing Program - one of Vision 2030's vital projects.
As part of a series of agreements with financing entities, this particular agreement aims to diversify the housing support options provided to “Sakani" beneficiaries, offering them a range of solutions and benefits. With the Down Payment Support Package, beneficiaries can receive immediate, non-refundable financial support of up to SAR 150,000 for both off-plan products and ready-made properties.
Waleed Al-Nazhan, VP - Chief of Financing Solutions at REDF, and Saud Bajbair, Group Head of Retail Business at SNB signed the agreement in the presence of Mansour Bin Madi, CEO of REDF.
According to Mansour Bin Madi, CEO of REDF, the agreement serves as an extension of the strategic partnership with approved financing entities. This extension aims to empower “Sakani" beneficiaries by providing access to the various financing solutions and benefits offered through the Housing Subsidy Program's packages, including immediate, non-refundable financial support of up to SAR 150,000. He also emphasized that the Housing Support Program offers additional supporting and enabling programs to beneficiaries, including in-kind support for off-plan units and a subsidized mortgage program. Under the subsidized mortgage program, the government covers the real estate transfer tax for first-time property buyers, as long as it does not exceed SAR 1,000,000 of the property's purchase price.
"We are eager to enhance integration by collaborating with all financing entities to provide financing solutions for the updated Housing Support Program's packages, as part of REDF's continuous endeavor to streamline the beneficiaries' home ownership journey," Bin Madi remarked. He further mentioned that five approved financing entities are presently offering financing solutions for the Housing Support Program's packages, covering both off-plan and ready-made property products.
Saud Bajbair, Group Head of Retail Business at SNB, confirmed SNB's commitment to continue supporting the housing sector in the Kingdom. He further emphasized that SNB, being the largest financial institution in the Kingdom, assumes a prominent role in bolstering national development endeavors. Through its contributions to development initiatives, programs, and plans, SNB aims to contribute to achieving sustainable development and fostering a thriving economy in the Kingdom. This commitment is especially significant, given Vision 2030's special focus on the housing sector, aiming to facilitate access to suitable housing for all segments of society and increase the rate of Saudi ownership.