# Ten years, not twenty-five: what a short term does to your monthly payment

> MFLC lends for homes over five to ten years; banks now go to 25. On every MVR 1 million borrowed, a ten-year term costs roughly MVR 4,000 to 5,000 more a month, and far less in total. Worked examples at illustrative rates.

Source: Maldives Real Estate News, published by Binga Properties. URL: https://news.binga.mv/mflc-ten-year-term-what-it-costs-monthly
Published: 2026-10-18T07:32:59.258Z · Updated: 2026-10-18T07:32:59.258Z · Event date: 2026-10-18

Maldives Finance and Leasing Company (MFLC) lends for homes over **five to ten years**. Bank of Maldives now finances home purchases over **up to 25 years**. The term changes the monthly payment more than any rate difference.

MFLC does not publish its rates, so the figures below use **illustrative rates, not MFLC's**. They show how the term works; ask MFLC for your actual rate.

## Every MVR 1 million borrowed

| Rate (illustrative) | 5 years | 10 years | 25 years |
|---|---|---|---|
| 9% | MVR 20,760 a month | MVR 12,670 | MVR 8,390 |
| 10% | MVR 21,250 | MVR 13,220 | MVR 9,090 |
| 12% | MVR 22,240 | MVR 14,350 | MVR 10,530 |

## Over the whole loan

- **10 years at 10%:** about **MVR 1.59 million** repaid for each MVR 1 million borrowed.
- **25 years at 9%:** about **MVR 2.52 million** repaid for each MVR 1 million.

A short term costs more each month and much less overall.

## On a MVR 3 million flat

MFLC asks for at least **20% equity**: MVR 600,000 down. Financing the other **MVR 2.4 million** over 10 years at an illustrative 10% would cost about **MVR 31,700 a month**.

## Who a short term suits

- Buyers with **high incomes** who would rather be debt-free in ten years.
- **Second lenders' top-ups:** a smaller, shorter loan alongside a main bank financing.
- Owners **building to let,** where rent from new floors repays the loan.

For most first-time buyers, the monthly payment on a ten-year term will be the deciding constraint. Work it out 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/business/home-loan (MFLC Home Loan page, read 18 October 2026) (https://www.mflc.mv/business/home-loan (MFLC Home Loan page, read 18 October 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))
- www.bankofmaldives.com.mv/personal/financing/home-purchase-financing (BML, read 18 October 2026) (https://www.bankofmaldives.com.mv/personal/financing/home-purchase-financing (BML, read 18 October 2026))

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