Frequently Asked Questions


What is the maximum amount of loan I can borrow?

DBH provides Housing Loan upto maximum 70% of the Total Purchase Price (including Registration Cost) of the Apartment, and upto 80% of the Construction / Extension Cost of a House.

How will DBH decide the loan amount I am eligible for ?

Subject to the maximum loan limit as mentioned above, your Repayment Capacity as assessed by DBH will determine the Loan Amount you can borrow. Repayment Capacity is determined by the factors such as your income, age, qualifications, number of dependants, spouse's income, assets, liabilities, stability and continuity of occupation, and savings history. While providing Housing Loan, DBH wants to ensure that you can comfortably and regularly repay the Loan Amount you borrow.

When can I make an Application for Housing Loan?

You can apply for Home Loan at any time after you have decided to buy/construct/extend a House/Flat/Housing Plot, even if the property has not been selected or the construction has not been started.

How do I make an application?

Please complete the prescribed Application Form and submit it along with supporting documents. On receipt of the completed Application Form along with theprocessing fees, DBH will process your application, make such enquiries as it deems necessary and convey its decision to you at the earliest.

What is the Fees payable and when are these payable?

Please contact any of the DBH Offices for the Processing Fees and Loan Fees currently applicable to avail DBH Home Loan. Please note that, payment of all fees must be made through "A/C Payee" Cheques in favour of "Delta Brac Housing Finance Corporation Ltd." Loan related fees are subject to 15% VAT.

What are the supporting documents to be submitted along with an Application?

Please contact any of the DBH Offices for the Processing Fees and Loan Fees currently applicable to avail DBH Home Loan. Please note that, payment of all fees must be made through "A/C Payee" Cheques in favour of "Delta Brac Housing Finance Corporation Ltd." Loan related fees are subject to 15% VAT.

INCOME DOCUMENTS:

If you are Employed
  • Employment Certificate
  • Latest Salary Slip/Salary Certificate showing all documents.
  • Bio-Data/C.V.
  • Bank statements for last 12 months.
If you are Self-Employed:
  • Trade License of the business
  • Copies of individual income-tax returns and assessment orders for the last three years along with the statement of income.
  • Profit and Loss Account and Balance Sheet of your business for last three years.
  • A note giving information on the nature of your business/profession, form of organization, clients, suppliers etc.
  • Bank statements for last 12 months.
Other Documents:
  • Copies of Ownership Document & Rental Agreement, if you have rental income
  • Copies of Savings Instrument (if any)
  • Similar proof of other income.

Who can be co-applicants ?

Joint owners of the properly proposed to be mortgaged against loan from DBH will have to be co-applicants. However, your spouse need to be the co-applicant to the loan, even if he/she is not the co-owner of the property.

How do I repay the loan?

You will repay DBH Home Loan on a regular monthly basis, through Equated Monthly Instalments (EMI). EMI comprises of both Interest and Principal amount of the loan, and you will commence the payment of EMI from the month following the month in which you will draw down the entire amount of loan.

If you decide to draw down the loan in instalments, then you will pay interest on the partly drawn loan amount, until the entire loan amount is drawn. This interest is called Pre-EMI (P-EMI) interest. Pre-EMI interest is payable every month from the date of each disbursement (i.e. cheque delivery date) up to the date of commencement of EMI. Pre-EMI interest is calculated at the same rate at which EMI is calculated.

What is the Rate of Interest that will be charged on my loan and what is the size of the EMI?

Please Contact any of the DBH Offices for the Interest Rates currently applicable for DBH Home Loan. Interest on DBH Home Loan is calculated using Reducing Balance Method on the diminishing balance of Principal Loan Amount.

Is the Rate of Interest fixed for the entire duration of the loan?

We offer both Adjustable and Fixed Rate Home Loan Schemes. Under Adjustable Rate Home Loan (ARHL) Scheme, depending on the changes in money market conditions, DBH reserves the right to vary the rate of interest prospectively from time to time. In case of Fixed Rate Home Loan (FRHL) Scheme, the rate of interest remains same throughout the loan tenure.

When can I draw down the loan?

You can draw down the loan after satisfactory work-in-progress, completion of all legal documentation and after full investment of your own contribution. Your own contribution is the total cost/price less DBH Home Loan.

In what form can i make payment to DBH?

All kinds of payments for fees, charges, pre-EMI interest, and EMIs should be made by Cheque, marked "A/C Payee Only" drawn on a bank in Dhaka/Chittagong city, by Pay Order, or by Demand Draft drawn in favour of "Delta Brac Housing Finance Corporation Ltd."

Do I get Tax Benefit on the loan?

Yes. According to the Income Tax Ordinance 1984, Section (25) Sub-section (1), the interest payable, on Home Loans with principal amount of up to BDT 2,000,000/- (Taka Twenty Lakhs only), would be deducted from the total taxable income. As a result, the income tax liability would be substantially reduced.

For a person taking loan at gross ROI 15.00% p.a. and presently paying income tax @ 25%, the effective net ROI is 11.25% pa (15.00x75%) ie. 3.75% pa savings due to reduced tax payments by the borrower.

Does the property have to be insured?

Please ensure that the property is duly and properly insured for fire and other appropriate hazards, as required by DBH, during the term of the loan and to produce evidence thereof to DBH, each year and/or whenever called upon to do so. DBH should be the beneficiary of the insurance policy.

Will DBH assist me in selecting my dream home?

Yes. DBH can assist you in selecting your property in Dhaka and Chittagong cities through Property Counseling Services, which is now provided free of cost.

Will DBH finance Non-Resident Bangladeshi (NRB) holding foreign passports ?

Yes. But subject to restrictions of the Government of Bangladesh (if any).