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Home Loan & Mortgage Calculator — Pakistan

Estimate your monthly instalment, total interest and total cost of a home loan in Pakistan. Pick a financing option to pre-fill a current indicative rate, or enter your own.

= Rs 15,000,000
Rate basis: ≈ 1-yr KIBOR + 3%. Offered by HBL, Meezan (Easy Home), Bank Alfalah, UBL, MCB, Bank AL Habib.
Down payment: Rs 3,000,000 · Loan amount: Rs 12,000,000
Estimated monthly instalment
Rs 158,902
Principal Rs 12,000,000 Interest Rs 26,136,509
Loan amountRs 12,000,000
Total interestRs 26,136,509
Total payableRs 38,136,509
Payments240 months
Rates as of September 2026 (1-yr KIBOR ≈ 12.1%; SBP policy rate 11.5%). These are indicative figures compiled from publicly advertised bank and SBP-scheme terms — most home finance is KIBOR-linked and changes over time. This tool is for planning only and is not a loan offer or financial advice. Confirm the current rate, fees and eligibility with the bank before deciding.
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Most home financing in Pakistan is KIBOR-linked— a floating benchmark plus the bank’s spread — so your instalment moves with the market. As of September 2026, 1-year KIBOR is about 12.1% (SBP policy rate 11.5%), and a typical bank home-finance rate is roughly KIBOR + 3% (~15.1%). Government-subsidised schemes are the big exception. This calculator lets you compare all three.

How home financing works in Pakistan

A bank finances up to ~80–85% of the property (you put down 15–20%), then you repay a fixed monthly instalment (EMI) over the tenor. The rate is almost always 1-year KIBOR + a spread, repriced yearly — so budget for movement, not a fixed number for 20 years. Total cost also includes processing fees, legal and property-insurance charges that vary by bank.

Government & special schemes

OptionRateNotes
PM (Wazir-e-Azam) Apna Ghar5% fixed yrs 1–10, then KIBOR+3%Up to Rs 10M, ~20-yr tenor, via SBP partner banks. Rs 160bn approved in 2026.
Roshan Apna Ghar (overseas)≈ KIBOR + 1.5%For non-residents via a Roshan Digital Account — the cheapest market-linked route.
Bank home finance (typical)≈ KIBOR + 3%HBL, Meezan Easy Home, Bank Alfalah, UBL, MCB, Bank AL Habib.
Punjab Apna Ghar (provincial)SubsidisedRevised limits/markup launched 2026 — Punjab residents.

Islamic vs conventional

Islamic home finance uses Diminishing Musharakah: the bank and you co-own the property; you gradually buy the bank’s share in instalments while paying rent on the portion the bank still owns. The monthly maths is comparable to a conventional EMI — the structure and documentation differ. Common products: Meezan Easy Home, Askari Home Musharakah, BankIslami Muskun, Standard Chartered Saadiq.

Eligibility & how much you can borrow

The key limit is the Debt Burden Ratio (DBR): the State Bank caps total loan repayments at 50% of your net monthly take-home income. Tenors run to 20 years (some banks 25), financing up to ~Rs 100M subject to DBR, and a co-applicant’s income can be clubbed (e.g. spouse) to raise your limit. Your age at maturity (retirement) also caps the tenor.

Worked example

Rs 1.5 Cr property, 20% down (Rs 30 lakh), Rs 1.2 Cr financed at KIBOR+3% (~15.1%) over 20 years → an EMI of roughly Rs 1.58 lakh/month. Under PM Apna Ghar’s 5% intro, the early-year instalment on an eligible amount is far lower. (Illustrative — the calculator above computes your exact figures.)

Honesty note: rates are indicative and dated September 2026, and KIBOR moves. Actual mark-up, fees, insurance and eligibility are set by your bank. Confirm the final offer with the lender before committing — this tool is for planning, not financial advice.

Frequently asked questions

What is the current home loan mark-up rate in Pakistan?As of September 2026, 1-year KIBOR is around 12.1%, so a typical bank home-finance rate is roughly KIBOR + 3% (about 15.1%). Subsidised schemes like PM Apna Ghar start at 5% fixed.
What is the PM Apna Ghar scheme?A government-subsidised housing programme: 5% fixed mark-up for the first 10 years (then KIBOR + 3%), for financing up to Rs 10 million via SBP partner banks, over roughly 20 years.
Can overseas Pakistanis get a home loan in Karachi?Yes — Roshan Apna Ghar, offered through a Roshan Digital Account at around KIBOR + 1.5%, is designed for non-resident Pakistanis buying property in Pakistan.
How much home loan can I get on my salary?Enough that your total loan repayments stay within 50% of your net monthly take-home income — the State Bank's Debt Burden Ratio cap. Clubbing a co-applicant's income can raise the limit.
Is Islamic or conventional financing cheaper?Pricing is broadly comparable — the difference is structure (Diminishing Musharakah vs interest). Compare the all-in rate and fees from both, not the label.
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