# Buying off plan with MFLC: the questions to ask first

> MFLC's forms allow funds to go directly to a developer and offer a grace period of up to 12 months, but it has no published list of approved developments and charges 1% a year on money not yet drawn. Seven questions to settle before you book.

Source: Maldives Real Estate News, published by Binga Properties. URL: https://news.binga.mv/mflc-buying-off-plan-questions-to-ask
Published: 2026-10-18T07:32:59.258Z · Updated: 2026-10-18T07:32:59.258Z · Event date: 2026-10-18

Most new homes in Greater Malé are sold before they are built. The big banks publish lists of developments they will finance before completion. **Maldives Finance and Leasing Company (MFLC) does not publish such a list**, and we found no announced MFLC partnership with any developer. That does not mean it will not finance an off-plan purchase. It means you need to ask.

## What MFLC's terms already tell you

- **Payment to the developer:** its Islamic home financing form says funds may be paid to the customer, supplier, **developer** or contractor, as agreed with MFLC.
- **A grace period of 3 to 12 months.** That is shorter than the 24 months some banks offer, and short against a two-year build.
- **A commitment fee of 1% a year** on approved money not yet drawn. If MFLC pays the developer in stages, the undrawn balance carries this fee.
- **Security:** the property being financed. For a flat not yet built, ask what MFLC takes as security until it exists.

## Seven questions to ask MFLC

1. **Will you finance this development before completion?** Ask for it in writing.
2. **How will the money be paid:** in stages against the developer's schedule, or at handover?
3. **What do I pay during construction,** and does the grace period cover the whole build?
4. **Is the commitment fee charged** on stages not yet paid?
5. **What security do you take** before the flat is complete?
6. **What happens if handover is late?**
7. **What is the rate,** and is it fixed for the term?

## And ask the developer

- **Which lenders have approved the development?** Bank of Maldives, for example, lists more than 30 approved projects.
- **How does their payment schedule line up** with your lender's disbursements?

Compare the answers with a bank that has approved the development before you pay any booking fee.

*As published by MFLC on 18 October 2026. MFLC does not publish its rates; ask for them in writing. General information, not financial advice.*

## Sources
- www.mflc.mv/_files/ugd/1bb910_a8a7439525a042278fa19a6376bb5e71.pdf (MFLC Maal Home Financing application form, V1 Mar 2026) (https://www.mflc.mv/_files/ugd/1bb910_a8a7439525a042278fa19a6376bb5e71.pdf (MFLC Maal Home Financing application form, V1 Mar 2026))
- www.mflc.mv/_files/ugd/1bb910_ee00e9c130cc4073a2eeaef1c379e36f.pdf (MFLC Corporate Finance – Home Loan application form, V1 Feb 2026) (https://www.mflc.mv/_files/ugd/1bb910_ee00e9c130cc4073a2eeaef1c379e36f.pdf (MFLC Corporate Finance – Home Loan application form, V1 Feb 2026))
- www.mflc.mv/_files/ugd/1ccc56_3750782413d54142aeff419abe4daf32.pdf (MFLC Schedule of Charges, effective 24 June 2026) (https://www.mflc.mv/_files/ugd/1ccc56_3750782413d54142aeff419abe4daf32.pdf (MFLC Schedule of Charges, effective 24 June 2026))
- www.mflc.mv/maal/maal-musharakamutanaqisa (MFLC Maal Musharakah Mutanaqisah page, read 18 October 2026) (https://www.mflc.mv/maal/maal-musharakamutanaqisa (MFLC Maal Musharakah Mutanaqisah page, read 18 October 2026))

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