Al Khabeer Merchant Finance Corporation has joined Al Mutajra Installments Company to establish a joint stock company – Dari for Home Loans, which will be capitalised at SR1 billion (Dh979 million).
The company that is under development stage will specialise in financing the construction and purchase of houses and residential properties in accordance with Islamic Shariah principles.
Dari Home Loans will become one of the first real estate financing companies in the Kingdom to specifically cater to the middle income sector, providing the highest levels of excellence, quality and services.
The company will assist in assessments of potential house purchases, the construction of villas and residential buildings, and will also offer favourable payment periods in keeping with Shariah provisions.
The property funding specialist will initially operate in Riyadh, eventually expanding to cover the Western and Eastern regions of the Kingdom.
It will not include property developers among its pool of clients.
Mohammad Sheikh, Chief Operating Officer of Dari Home Loans who also manages two personal financing companies in Saudi Arabia and has extensive experience in the field, said: "We are confident that the support of well-known members, who are actively involved in the finance and installments markets, will enable us to establish the proper environment and provide excellent services which will have positive effects on the Saudi Arabia's real estate sector."
Dari Home Loans is currently appointing personnel and officials for managing its human resources and is negotiating with a global partner for the transfer of management experience to this sector in the Kingdom.