REDF launches Alternative Financing Program to uplift lenders

Logo of Real Estate Development Fund (REDF)

The Real Estate Development Fund (REDF) launched the Alternative Financing Program in a bid to strengthen the mortgage ecosystem in Saudi Arabia by boosting local banks’ lending capacity and supporting Saudi families’ first-time homeownership.

The fund said the program’s first phase was launched in partnership with the Saudi National Bank (SNB) and the National Housing Co. (NHC), with REDF providing additional financing to support mortgage issuance, while NHC offers selected housing units in Riyadh, Jeddah, and Dammam to eligible citizens.

REDF noted that monthly installments start from SAR 699 for projects in the Western Province, SAR 999 for projects in the Eastern Province, and SAR 1,499 for projects in the Central Province, with immediate financing approval.

The fund added that the expansion of the program to include additional banks is expected to increase the lending capacity of the banking sector, enhance liquidity within the financial system, and further support the housing finance ecosystem.

REDF highlighted that the program aligns with the objectives of Saudi Vision 2030 to raise the homeownership rate among Saudi citizens to 70%.