Saudi Real Estate Refinance Company Extends Maturity of Mortgage Benchmark to 30 Years
Posted on 10/03/2022
Saudi Real Estate Refinance Company (SRC) is part of the Public Investment Fund of Saudi Arabia. SRC has extended to 30 years the maturity on its benchmark for mortgages in Saudi Arabia. SRC was formed to increase homeownership in Saudi Arabia and has similar characteristics of U.S. mortgage giant Fannie Mae.
The long-term fixed rate (LTFR) benchmark previously had a maximum eligible tenor of 25 years.
“SRC will further support the development of a robust mortgage market in the Kingdom, providing longer term liquidity to primary originators,” the firm said in a statement.
“It will allow lenders in the Kingdom more flexibility and the ability to offer more sustainable mortgage solutions to borrowers.”