# 5% down: what Bank of Maldives' equity cut means on a real price list

> Since October 2025 Bank of Maldives asks for 5% of the price as your own money, down from 20%. On a MVR 3.5 million flat that is MVR 175,000 instead of MVR 700,000. What the cut changes, what it does not, and the full cash a buyer still needs on day one.

Source: Maldives Real Estate News, published by Binga Properties. URL: https://news.binga.mv/bml-five-percent-equity-what-it-means
Published: 2026-10-18T07:27:31.990Z · Updated: 2026-10-18T07:27:31.990Z · Event date: 2026-10-18

For years the hardest part of buying a flat in Greater Malé was not the monthly payment but the deposit. Bank of Maldives (BML) asked buyers to put in 20% of the price themselves. On **1 October 2025** it cut that to **5%** for Home Purchase Financing.

## How the requirement came down

- **Before February 2025:** a tiered structure starting at 20% equity.
- **10 February 2025:** 10% for projects up to MVR 3 million, alongside a longer term and a higher ceiling.
- **1 October 2025:** 5% for Home Purchase Financing.

BML's own example: a flat at **MVR 3.5 million** needed **MVR 700,000** at 20%; at 5% it needs **MVR 175,000**.

## On today's prices

| Home and price | Equity at 20% | Equity at 5% | Financed at 5% |
|---|---|---|---|
| Bayfancy 1+1, from MVR 3.75m | MVR 750,000 | MVR 187,500 | MVR 3,562,500 |
| A MVR 5 million family flat | MVR 1,000,000 | MVR 250,000 | MVR 4,750,000 |
| A MVR 6 million 3-bedroom | MVR 1,200,000 | MVR 300,000 | MVR 5,700,000 |

## What the cut does not change

- **The monthly payment goes up.** Borrowing 95% instead of 80% means a larger balance. At 9% over 25 years, each MVR 1 million costs about MVR 8,400 a month. On the Bayfancy example, financing 95% rather than 80% adds about MVR 4,700 a month.
- **Your income still has to cover it.** BML assesses whether your income meets the repayment, and it does not count the rent from the home you are buying.
- **The developer's terms are separate.** Many developers want staged payments during construction. Check how those line up with what the bank will pay and when.

## The real day-one cash

On a MVR 3.75 million flat, budget at least:
- **Equity:** MVR 187,500.
- **Processing fee:** 1.5% of the amount financed, about MVR 53,400.
- **Application fee:** MVR 1,000, not refunded if you are declined.
- **Transfer and registration costs,** and anything the developer charges at booking.

## Using your pension

BML says the equity **can be financed through the Pension Fund**, under the rules of the Maldives Pension Administration Office. Ask both BML and the pension office what you can draw, and how long it takes, before you commit to a booking date.

*Figures as published by Bank of Maldives; examples are our estimates. General information, not financial advice.*

## Sources
- www.bankofmaldives.com.mv/articles/833/bank-of-maldives-announces-lowest-home-purchase-financing-equity-at-5 (BML, 1 October 2025) (https://www.bankofmaldives.com.mv/articles/833/bank-of-maldives-announces-lowest-home-purchase-financing-equity-at-5 (BML, 1 October 2025))
- www.bankofmaldives.com.mv/articles/743/bank-of-maldives-announces-positive-changes-to-housing-finance-products (BML, 10 February 2025) (https://www.bankofmaldives.com.mv/articles/743/bank-of-maldives-announces-positive-changes-to-housing-finance-products (BML, 10 February 2025))
- www.bankofmaldives.com.mv/personal/financing/home-purchase-financing (BML Home Purchase Financing product page, read 18 October 2026) (https://www.bankofmaldives.com.mv/personal/financing/home-purchase-financing (BML Home Purchase Financing product page, read 18 October 2026))

Binga Properties is a real-estate concierge; it may represent homes and developments mentioned here.