Since its launch earlier this week, the response has far exceeded the expectations, reflecting the strength of the real estate finance market in the UAE.
The company has offered four types of home finance products, namely, ‘Home Builder’, ‘Flexi Rent to Own’, ‘Fixed Lease to Own’ and ‘Home Owner’. As demand for home finance and property financing booms in the UAE, the new products from Tamweel are designed to satisfy demand for finance provided within the guidelines of Islamic financing.
Sulaiman Al Fahim, Marketing and Product Development Manager of Tamweel, says: “We received over 1,500 calls within the first two days of launch of the various options on Saturday. In addition, our marketing department has received over 100 applications, covering all Islamic and finance products.”
“This response reflects the significant demand for home finance products in the UAE, and Dubai in particular, keeping in view the number of residential projects coming up in Dubai. The applications that we have received are from locals, GCC nationals and expatriates,” Mr Al Fahim said, adding that the response to the options are poised to increase in the short run.
“This trust bestowed on Tamweel (set up with an approved capital of AED1billion) is primarily due to the backing of Dubai Islamic Bank, the first Islamic banking institution in the world, and Isthithmar, which is part of the corporate office including the Dubai Ports, Customs and Free Zone Corporation, Nakheel, Dubai Metals and Commodities Centre (DMCC) and Tejari. Isthithmar is one of the fastest growing companies catering to the real estate sector, with a good presence in the trade sector as well,” added Mr Al Fahim.
Tamweel’s home finance products will primarily focus on individual property owners. Tamweel anticipates that the Flexi Rent to Own product will be the most popular amongst customers, offering up to 80 per cent financing for residential properties, along with a flexible profit rate.
Other options include:
• Fixed Lease to Own product which has instalment repayments based on a fixed profit rate, thereby giving customers stability and peace of mind.
• The Home Owner product where customers can purchase a property handpicked from Tamweel’s approved developers and enjoy repayments deferred over a period of time.
• Home Builder, the fourth alternative, provides financing for the construction of property, where the customer makes an initial down payment and then repayments begin only after construction is complete.
Incidentally, Tamweel is the only institution to offer both fixed and flexible rates, thus providing customers with the option to personalise their choice of home finance.
Individuals who have availed Tamweel home financing will further benefit from an array of value-added services including advice and information on the entire process of property buying. Tamweel has also formed alliances with well known retailers of home furnishings and ancillaries to offer its customers attractively priced benefits.
With a strong focus on customer convenience, Tamweel has chosen to make it simple and easy for interested persons to apply. Repayment terms range between 3 and 25 years, different products offer fixed and flexible profit rates.
Tamweel intends to be focused on the home finance and real estate sector, developing expertise and skills that will facilitate them in offering the best options and specialised support to customers.
The company is also planning to develop the secondary market, offering securitisation of assets.
Thursday, March 4- 2004 @ 10:01 UAE local time (GMT+4) Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of Mediaquest FZ LLC.