Xavier Duval Launches 'Housing Empowerment Scheme'

The Housing Empowerment Scheme is intended for families or individuals with a maximum monthly income of Rs 50,000. '' The project is open to all, not just first time buyers'', has insisted the minister Finances.En effect, this plan reduces the deposit to a bare minimum, or 5% of the loan amount. The State through the Mauritius Housing Company (MHC) guarantees 20% of the loan amount. Demand for Housing Empowerment Scheme is made directly from twelve commercial banks participating in the project, particularly SBM, MCB, Barclays, MPCB, ABC Bank, Baroda, Bank One, Bank of Mascarene, Bramer, Habib, State Bank of India and HSBC.

The financing plan concerning houses or apartments costing up to Rs 2.5 million and whose area does not exceed 1,500 square feet. In addition, the interest rate is 2.5%, adding to a variable element, the repo rate is 4.65% now. A two-year moratorium is granted for the repayment of capital. According to Rajen Seetohul, Director of MHC, a rate of 7.15% is a very good rate for consumers.

In addition, MHC offers free several architectural and structural plans. Rajen Seetohul welcomed the budget measure that he says will boost the construction sector, while allowing many young couples to buy or build their own home. '' A VAT exemption up to Rs 300,000 is provided on the cost of construction or acquisition,'' he has said before adding, the borrower must make its own contribution Rs 300,000 for a loan of one million rupees and to seek Rs 700,000 from banks.

'' Today, with this plan, for the same loan, the manufacturer shall provide Rs 50,000 and Rs banks finance 950,000, which is guaranteed to the tune of Rs 200,000 by the state,'' said Rajen Seetohul to le Matinal at Friday. He also said that the demand for construction loans are indeed as many'' loans are approved by the MHC. '' A house has sentimental value and is a lifetime investment. There was a 'slump' last year, but things are better this year,'' he has said.