Title: New Low-Interest Housing Initiative Launched to Support Rural Development
In a significant move to bolster rural infrastructure and support low-income families, Iran’s Housing Foundation has announced the latest phase of its long-standing rural housing support plan. The initiative offers substantial financial assistance to eligible households for constructing new homes.
Enhanced Financial Support for Families
The Deputy of Reconstruction and Rural Housing announced that families falling within the first to third income deciles are now eligible to apply for a low-interest loan of 400 million tomans. This financial aid comes with a highly favorable 5% service fee and an extended 20-year repayment window, significantly easing the financial burden on beneficiaries.
A Long-Standing National Program
This housing support scheme is not a new concept but a reinforced national program that has been actively implemented since 2005. Officials highlighted the plan’s evolution, noting that the initial loan ceiling was just 5 million tomans, which could cover approximately 70% of construction costs at the time. In response to economic changes and rising costs, the loan amount has been progressively increased to its current level, which is now estimated to cover between 55% to 60% of the expenses for building a residential unit in rural areas.
Implementation Timeline
The operational plan for distributing these new loans is scheduled for the final quarter of the current Iranian year. Following official approval by the Council of Ministers, the program will be activated and will remain in effect for the current and upcoming years.
Comprehensive Support for the Most Vulnerable
Recognizing that some families may still face financial hurdles, the program includes a multi-faceted support system. Beyond the low-interest bank facilities, qualifying households can also receive non-repayable grants. These grants are sourced from various supportive national institutions, including the Foundation of the Oppressed, the Imam’s Executive Headquarters, the Imam Khomeini Relief Committee, and the State Welfare Organization.
Officials clarified that for applicants unable to provide the required personal equity for construction, efforts will be made to cover a significant portion of this amount through these direct grants. This comprehensive approach is designed to fulfill the goal of enabling less affluent families to own safe, resilient, and sustainable housing.
Strategic Objectives for Rural Resilience
The core objective of this foundational scheme is to enhance the safety and durability of housing for rural residents. It is a key component of the country’s development planning, strategically aimed at strengthening the overall resilience of villages and improving living conditions across the nation’s rural landscape.