Saudi Real Estate Refinance Company (SRC) has signed a strategic agreement with Bidaya Home Finance to purchase a portfolio and provide a refinancing facility worth SR1 billion ($266 million).

This is the second refinancing deal SRC has signed in two weeks, reported Arab News.

The portfolio acquisition and short-term financing facility will allow Bidaya Home Finance to offer a wider variety of mortgage financing solutions, it stated.

This, in turn, will encourage real estate ownership through innovative Shariah-compliant products, said the report.

Speaking at the signing ceremony, Minister of Housing Majed Bin Abdullah Al Hugail said the agreement was another step in improving the quality of life of citizens through housing.

"It will increase Bidaya Home Finance’s ability to offer more accessibly home buying solutions and increasing home ownership among citizens. This type of cooperation and partnership is what Vision 2030 intends to build on as we develop and expand our economy," he added.