# What changed in 2025: MIB halves the deposit and adds five years

> In 2025 Maldives Islamic Bank cut the equity on home financing from 20% to 10%, extended the term from 20 to 25 years and halved the work history it asks for. What changed, what it means for a buyer, and what has not changed.

Source: Maldives Real Estate News, published by Binga Properties. URL: https://news.binga.mv/mib-2025-home-financing-changes
Published: 2026-10-18T07:35:03.626Z · Updated: 2026-10-18T07:35:03.626Z · Event date: 2026-10-18

Maldives Islamic Bank (MIB) overhauled Ujaalaa Hiyaa in 2025. The Edition reported it on **3 August 2025**; MIB announced it on **30 September 2025**, citing *"huge demand for housing loans."* Its 2025 annual report confirms the change.

## Then and now

| | October 2023 | Today |
|---|---|---|
| Minimum equity | 20% | **10%** |
| Longest term | 20 years | **25 years** |
| Work history | 24 months | **12 months** |
| Profit rate | 9% to 11% | **9% to 10%** |
| Processing fee | 1.25% (charges list) | **1.5%** (since January 2024) |

## What it means for a buyer

On a **MVR 3 million flat**:
- **The deposit falls** from MVR 600,000 to **MVR 300,000**.
- **The monthly payment** at 10% on the larger amount financed (MVR 2.7 million) over 25 years is about **MVR 24,500**. Under the old terms (MVR 2.4 million over 20 years) it was about **MVR 23,200**.
- **The total repaid rises.** More borrowed, for longer.

Lower entry, similar monthly cost, more profit to the bank over the life of the financing.

## Other changes reported

The Edition also reported that the facility can **refinance a flat financed by another bank**. MIB's own product page does not mention this; ask.

## What has not changed

- The **Base Rate** in MIB's charges list: **10%**, unchanged since June 2023.
- The **approved project rule** for flats under construction.
- **Takaful for the full term**, paid before release.

MIB's FAQ still gives the **old 20-year term**. The product page, its September 2025 announcement and its annual report all say 25.

*As published by Maldives Islamic Bank on 18 October 2026. Rates and terms change; confirm them with MIB before you commit. General information, not financial advice.*

## Sources
- edition.mv/business/43129 (The Edition, 3 August 2025) (https://edition.mv/business/43129 (The Edition, 3 August 2025))
- www.mib.com.mv/news/80 (MIB, 30 September 2025) (https://www.mib.com.mv/news/80 (MIB, 30 September 2025))
- web.archive.org/web/20231002051042/https://www.mib.com.mv/personal-financing/ujaalaa-hiyaa (archived product page, 2 October 2023) (https://web.archive.org/web/20231002051042/https://www.mib.com.mv/personal-financing/ujaalaa-hiyaa (archived product page, 2 October 2023))
- www.mib.com.mv/downloads/455/download (MIB Annual Report 2025) (https://www.mib.com.mv/downloads/455/download (MIB Annual Report 2025))
- www.mib.com.mv/personal-financing/ujaalaa-hiyaa (MIB Ujaalaa Hiyaa, read 18 October 2026) (https://www.mib.com.mv/personal-financing/ujaalaa-hiyaa (MIB Ujaalaa Hiyaa, read 18 October 2026))
- www.mib.com.mv/frequently-asked-questions (MIB FAQ, read 18 October 2026) (https://www.mib.com.mv/frequently-asked-questions (MIB FAQ, read 18 October 2026))

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