The Punjab government has finalized the operational framework for the ‘Apna Ghar’ housing scheme for the 2026 fiscal cycle, targeting middle-income families struggling with rising construction costs. The program, designed to provide interest-subsidized financing, aims to address the province’s widening housing deficit.
Under the current guidelines, eligible applicants can secure financing up to Rs 6 million. The government has capped the markup rate at 5% for the borrower, with the provincial exchequer absorbing the remaining financial burden from commercial lenders. This subsidy structure is aimed at keeping monthly installments within the reach of households earning between Rs 50,000 and Rs 150,000 per month.
To qualify, applicants must hold a valid domicile of Punjab and possess a clear title to a plot of land no larger than five marlas. Those who already own a home are strictly excluded from the program. The government has implemented a digital verification process through the Punjab Land Records Authority to prevent fraudulent claims, a common pitfall in previous housing initiatives.
The repayment period is set at 15 years. Officials have confirmed that the first three years will function as a grace period, where borrowers pay only the markup, delaying the principal repayment to ease the initial financial strain.
Critics argue that even with the 5% markup, the soaring cost of construction materials—specifically steel and cement—remains a barrier. A typical five-marla house now costs nearly double what it did three years ago, leaving some analysts to question whether a Rs 6 million loan provides sufficient coverage for a basic structure.
The provincial housing minister told reporters Tuesday that the government is currently negotiating bulk-purchase agreements with cement manufacturers to lower input costs for program beneficiaries. “We aren’t just handing out loans,” he said. “We are trying to stabilize the supply chain so the money actually builds a roof.”
Applications open next month via a dedicated portal. The government plans to release the first tranche of funds to commercial banks by mid-fiscal year, aiming to have the first 10,000 units under construction by December. Whether the program hits its target will depend on how quickly banks process the paperwork—a bottleneck that has stalled similar public-sector housing projects in the past.
