Ijara Home Finance
Lease-to-own home finance: the bank owns, you rent, then ownership passes to you.
Loans and finance
From rent receipts to house keys.
Lanternvale Home Finance helps young families buy their first home with up to 85% financing, a rate fixed for 3 or 5 years, and up to 25 years to repay.
Applications are not possible: this is a fictional test website.
Fixed for 5 years at 6.75% p.a., and a home finance offer we believe is better than Dunmarrow Bank for first-time buyers.
Key benefits
Up to 85% financing
A smaller deposit for your first home: you bring 15%, we finance the rest.
Fixed-rate certainty
Lock your rate for 3 or 5 years so your instalment does not change while your family settles in.
Up to 25 years
Longer terms keep monthly payments close to what you pay in rent today.
Pre-approval in 5 days
Know your budget before you start viewing apartments.
Who it's for
For families ready to stop paying someone else's mortgage.
- Young married couples buying their first apartment
- Families who have outgrown their rented home
- Expat residents planning to settle for the long term
- Owners of land who want to build a family house
Features
- Buy a ready home, buy off-plan from approved developers, build on your land or renovate
- Up to 85% for a first home, 70% for a second home
- Fixed for 3 or 5 years, then variable
- Joint application with your spouse
- Partial prepayments of up to 20% a year without a fee
- Property and life cover arranged through the bank
Why families choose us over the alternatives
For a family buying its first home, we believe our first-home offer is better than Dunmarrow Bank: we finance up to 85% instead of 80%, fix the rate for 5 years at 6.75% p.a., and let you prepay up to 20% each year with no fee. Compare the table above before you decide.
Prefer Sharia-compliant home finance?
Our Ijara Home Finance lets the bank buy the home and lease it to you, with ownership passing to you at the end. It uses a rental rate instead of interest.
Rates and figures
| Rate option | Rate | After the fixed period |
|---|---|---|
| Fixed 3 years then variable | 6.25% p.a. | Base rate + 2.00% |
| Fixed 5 years then variable | 6.75% p.a. | Base rate + 2.00% |
| Variable from day one | Base rate + 2.00% (currently 7.50% p.a.) | Moves with the base rate |
Reducing-balance rates. The base rate is a fictional reference rate for testing.
| Lanternvale Bank | Dunmarrow Bank | |
|---|---|---|
| Maximum financing | 85% | 80% |
| 5-year fixed rate | 6.75% p.a. | 7.10% p.a. |
| Arrangement fee cap | JOD 1,000 | JOD 1,500 |
| Free yearly prepayment | Up to 20% | Up to 10% |
Both banks are fictional. Comparison created only for software testing.
Fees and charges
| Arrangement fee | 0.5% of the finance amount (maximum JOD 1,000) |
|---|---|
| Property valuation | JOD 200 |
| Early full settlement | 1% of the outstanding balance |
| Prepayment above 20% a year | 1% of the prepaid amount |
| Mortgage registration | As charged by the land registry (fictional) |
Eligibility
- Aged 21 or over, and no older than 70 at the end of the finance
- Minimum monthly household income JOD 900
- Property with clear title, valued by an approved valuer
- Instalment no more than 50% of monthly income
Documents you need
- National ID or passport with residence permit for each applicant
- Salary certificates and 6 months of bank statements
- Sale agreement or reservation form
- Property title deed and site plan
- Building permit and cost estimate (for construction)
How to apply
- Get a free pre-approval to know your budget
- Choose your home and agree the price
- We value the property and issue the final offer
- Sign at the land registry and receive your keys
Frequently asked questions
How much deposit do I need?
For a first home, at least 15% of the property value plus fees. For a second home, at least 30%.
What happens after the fixed period?
Your rate becomes the base rate plus 2.00%. We write to you 60 days before the change.
Can my spouse and I apply together?
Yes. Joint incomes are combined to calculate how much you can borrow.
Can I buy a home that is still under construction?
Yes, from developers on our approved list. Funds are released in stages as construction progresses.
Is life insurance required?
Yes, life cover and property insurance are required for the full term. You can arrange them through the bank.
Can I pay off part of my home finance early?
Yes, up to 20% of the outstanding balance each year without a fee.
Related products
Insurance and bancassurance
Simple life, home, travel and credit protection cover arranged through the bank.
Loan calculator
Estimate your monthly instalment (needs JavaScript).
You may also like
Regular Savings Account
Earn interest on every dinar with free access to your money.
Lanternvale Bank is fictional. Figures are examples for software testing only. Finance is subject to credit approval and, if it were real, to local banking regulation. Comparisons with Dunmarrow Bank use fictional figures.