Preferential mortgage in Russia will expand at more expensive housing

Russian President Vladimir Putin considers it appropriate to extend preferential mortgage at 6.5% on the purchase of new homes valued up to 6 million rubles, and in Moscow and St. Petersburg — up to 12 million rubles. He stated this today during a regular televised address to the Russians.

As pointed out by the head of state, “it is necessary to expand opportunities for choice comfortable, modern housing.” “In this regard, I propose to extend preferential mortgage on a new home value not to three as before, and up to six million rubles, and in the largest Metropolitan areas — Moscow to St. Petersburg — up to 12 million rubles. Here property prices are much higher than in the whole of Russia”, — said Putin.

Recall that in early April the President instructed the Bank of Russia for may 1 to submit proposals on improving availability of mortgages. In addition, in particular, the government was instructed to develop measures to improve the investment attractiveness of housing construction projects.

In the middle of last month at the industry meeting the head of state supported the idea to launch a special program of preferential mortgage to “support our citizens and the construction industry”. Putin added that under this program it will be possible to get a mortgage at a rate of 6.5% per annum for the purchase of new housing-class comfort at the price of up to 3 million rubles in the regions and to 8 million roubles in Moscow and St Petersburg. The program of preferential mortgage in the 2020 plan to spend about 6 billion rubles.

on 23 April the Chairman of the government of the Russian Federation Mikhail Mishustin approved the program of preferential mortgage at 6.5% per annum. “The rate is not above 6.5% is maintained for the entire term of the loan. The program is distributed on home loans to 8 million roubles in Moscow and St. Petersburg and up to 3 million rubles — in other regions of the country”, — noted in the explanatory Memorandum. In the document it was specified that the preferential mortgage Budem to act until November 1, 2020. The difference between market and preferential rate of banks will reimburse the state.

Later Deputy Prime Minister Marat Khusnullin has made it clear that the authorities do not intend to prolong the duration of the program of preferential mortgage at 6.5% per annum after its completion, on 1 November 2020.

In early June, the Ministry of Finance of the Russian Federation considered it appropriate to lower the initial payment on a mortgage to 15% of the total amount of the payment. The corresponding draft resolution, submitted to the government aimed “to implement the instructions of the President of the Russian Federation and stipulates a reduction of the initial contribution from 20% to 15% for mortgage loans (credits) provided under the programs “Family mortgage”, “far Eastern mortgage and discount mortgage at 6.5% per annum”.

let’s Add that the Russian economy in February—March 2020 was under the powerful impact of two negative factors — the rapid spread of the pandemic coronavirus infection COVID-19 and its deleterious effect on the global economy and collapse in oil prices. Against this background, the rouble significantly depreciated against the dollar and the Euro. Reacting to the situation, the government and the Bank of Russia adopted several packages of measures to support the economy and citizens.

on 27 may, the Minister of economic development (MED) of the Russian Federation Maxim Reshetnikov said that the total cost of anti-crisis measures to support the Russian economy, aimed at combating the impact of the pandemic coronavirus has reached 3.3 trillion rubles.

2 Jun Mishustin presented to the President a national plan for the recovery of the Russian economy in 2020-2021 years, noting in particular that the cost of the plan will be about 5 trillion rubles.

Stories about how you tried to get help from the Russian state in terms of coronaries and that from this leftOh, send to