It is financing the purchase of a property under construction or what is called (off plan), whether it is (villa, apartment, townhouse) through one of the Ministry of Housing projects, subsidized profits for an amount of up to 500,000 Saudi riyals compatible with the provisions of Islamic Sharia and provided to REDF and the Ministry of Housing beneficiaries.

The product is financed under Tawarruq, where finance is provided to fulfill customer partial or full needs to construct a residence. The finance is received by payments transferred to the project developer according to progress phases schedule agreed upon with the customers at the time of contracting. And the finance is paid by monthly installments until the amount is fully paid.

Product concept:

SAB owns metal purchased from the global market and sells them to customers as agreed upon fixed profit rate, soon after purchasing metals from SAB, by issuing an official power of attorney for SAB, the customer can sell metal at the prevailing prices then obtain financing amount, and the land is mortgaged as a guarantee until the full amount is paid.

Example
 

Rates/prices presented are examples and they may vary depending on different factors such as the customer’s credit history and worthiness.