What does it mean to have a mortgage with state support: its programs for families in 2020

AHJK House of the Russian Federation for borrowers assistance program

the borrower is a citizen of the Russian Federation;
the duration of the mortgage loan is at least a year before applying for help;
The mortgaged housing must be located on the territory of the Russian Federation and be the only housing for the borrower (the presence of one more housing is allowed, but provided that the total share of the mortgagor and his family members in this property does not exceed 50%).

If some documents are missing, the bank will ask you to provide them additionally. Some nuances of the Mortgage Borrower Assistance Program The Mortgage Borrower Assistance Program, which started in 2020 and continues in 2020, is not something new. This is a direct continuation of the Program that began in 2020, but, however, in a seriously modified form. Despite the fact that the number of borrowers eligible for assistance has decreased due to increased requirements, support has become more personalized. It is possible that the program will be revised in 2020, but a lot will depend on the Government’s willingness to continue to finance it, as well as on the amount of funds allocated for the program.

Use of maternity capital

Although the maternity capital program was initially launched with the aim of stimulating the birth rate in the country, it gradually became a good help for many families in purchasing a new home and obtaining a mortgage loan. According to pension fund statistics, almost 92% of certificate holders who contact them use them specifically to improve their living conditions, including by purchasing an apartment or house on credit.

In 2020, the amount of maternity capital is 453,026 rubles. Mortgage borrowers can use it in two ways:

To form a down payment on a loan (possible only three years after the birth of a child).
To repay debt on an existing loan (possibly immediately after receiving the certificate in hand).

Considering the fact that in many small towns of the country you can buy an apartment for 1.5–2 million rubles, this amount is quite enough to pay a down payment of 25–30%.

It is also worth noting that since 2020, it has become possible to receive monthly cash from maternity capital in the amount of the subsistence level for one and a half years. This money will also help the mortgage borrower, especially if for some reason he does not want to repay the loan or part of it early with the help of maternity capital.

New conditions of the Mortgage Borrower Assistance Program 2020-2020

New condition. At the same time, the average monthly total income of the family of the borrower (joint and several debtors) in the calculation period is equal to the sum of the average monthly income of the borrower (joint and several debtors) and members of his family and the amount of the planned monthly payment on the credit (loan), calculated on the date preceding the date of filing the application for restructuring, increased no less than 30 percent compared to the size of the planned monthly payment calculated on the date of conclusion of the credit agreement (loan agreement).

Assistance is provided in the form of loan restructuring. In this case, restructuring can be carried out both by concluding an agreement between the creditor and the borrower (joint and several debtors) to change the terms of a previously concluded credit agreement (loan agreement), and by concluding a new credit agreement (loan agreement) for the purpose of full repayment of debt on a restructured mortgage loan. To conclude debt restructuring, the borrower must submit an application to the credit institution.

Conditions of receipt

To apply for a social mortgage, you need to collect a certain package of documentation and contact local authorities with them. This package is practically no different from the documents that are provided with a standard mortgage. There must be a standard document confirming that the family needs better living conditions.

The following documents are also required:

copies of birth certificates and passports of all family members, as well as a marriage certificate and a certificate of family composition.
income certificate. The conditions for taking out even a preferential loan imply that the monthly payment covers almost half (45%) of the total family income.
an extract from the house register, if you have your own home and other documents.

The list of all necessary documents is specified in local authorities , because in different regions the requirements for lenders under the state mortgage loan support program may also differ. When registering, you will need a document that will confirm that the purchased home is insured.

The borrower's life insurance is not required here. There are also no hidden fees or penalties for early repayment of the loan.

AHML: assistance programs for mortgage borrowers in 2020

Reducing the amount of regular loan payments during the entire period of state assistance to one year.
Partial or complete forgiveness of the principal debt or a change in lending conditions by the bank that issued the loan.
Reduction of the current interest rate to no more than 11.5% per annum.
Change of currency from foreign to Russian rubles (the exchange rate as of the date of conclusion of the restructuring agreement is taken into account).
Exemption from payment by the borrower of penalties, penalties or other fines accrued in accordance with the terms of the loan agreement (except for penalties by court decision).

This makes it possible to judge the impossibility of issuing a restructuring program for persons who fall under the other criteria of the Program, except for the presence of a mortgage in foreign currency. People who really find themselves in a difficult life situation and cannot cope with their credit burden are unlikely to hear a positive response to their application.

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Mortgage 6 percent

From the beginning of 2020, according to the decree of the President of the Russian Federation, a new program of state support for families with children began to operate. Its conditions at first glance seem quite attractive, but they have a number of nuances, taking into account which we can assume that this program will not cover such a large circle of borrowers as we would like.

So, according to the rules of the program, which is valid from January 1, 2020 to December 31, 2022, every family that entered into a loan agreement during this period can expect that the rate on it will be reduced to 6% per annum. This will happen provided that a second or third child appears in the family during this period. This must be clearly understood, since, for example, large families with a fourth child will not be able to take part in this program. The preferential interest rate is not established for the entire loan period, but only for a certain period:

When a second child appears - for 3 years.
When a third child appears - for 5 years.
In the event of the birth of first a second and then a third child during the program period, the terms for providing a preferential mortgage rate are summed up and will amount to a total of 8 years.

When the grace period ends, the standard loan rate will be applied.

Basic conditions of the program:

The loan term is up to 30 years.
The loan amount is 8 million rubles for Moscow and St. Petersburg, as well as related regions, and 3 million rubles for other regions.
The purpose of obtaining a loan is the purchase of finished or under construction housing on the primary market (the seller is strictly a legal entity).
Down payment – at least 20%.
A mandatory condition is to insure both property and the health and life of the borrower for the entire term of servicing the loan.

Currently, participation in the program has been confirmed for 46 banks throughout Russia. It is important to note that under the terms of the program, mortgages at 6% are provided both for the purchase of housing and for refinancing existing loans.

House of the Russian Federation, assistance program for borrowers, what documents

In Russia, mortgage programs find support at the state level and in special mortgage agencies. First, the borrower will need to undergo a solvency check with a credit institution. What documents are needed for a mortgage? The main documents are a passport and a certificate confirming income (2 personal income taxes). It is also allowed to provide your income in the form of a bank. After preliminary selection, the future borrower will be required to provide documents that confirm their labor, family and social status.

The program includes the responsibility of banks for independent approval of terms and a certain package of papers for borrowers seeking to use state support for a mortgage loan. The exception is mandatory papers, the provision of which is specified at the legislative level.

Requirements for the borrower

Applying for a mortgage with government support takes much longer than it would take a regular loan.

There is a standard set of requirements for the payer:

Age limit: 21 – 65 years (in some banks up to 75 years).
Citizenship of the country where the loan is issued.
Six months of experience from last place of work.
Certificate of income in accordance with the established bank form.
Possibility of attracting guarantors to increase total income.

Within a week after submitting all the necessary documents, the banking organization must consider the borrower's candidacy. If the candidacy is approved, you should proceed with the preparation of the remaining package of documents, including a purchase and sale agreement, insurance and an assessment of the property being purchased.

State program for assistance to borrowers

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citizens who have one or more minor children or are guardians (trustees) of one or more minor children;
citizens whose dependents are persons under the age of 24 who are students, students (cadets), graduate students, adjuncts, residents, assistant trainees, interns and full-time students.
citizens who are combat veterans;
citizens who are disabled or have disabled children;

Does paying off a mortgage work in practice?

To date, the social program has been implemented in many regions of the Russian Federation. Thus, in Mordovia, at the birth of the third child, the mortgage from Sberbank or another credit organization is written off in the amount of 30% of the debt, and at the birth of the fourth child, the mortgage is repaid in full. A similar scheme operates in Tatarstan, where at the birth of the first child, part of the mortgage is written off by providing a subsidy based on the cost of 18 square meters of housing. Similar programs operate in other regions of the state. Thus, you can apply, for example, for a reduction in your mortgage at Sberbank upon the birth of a child.

Expanding living space for an upcoming baby is a serious concern for parents and a significant burden on the budget. But benefits for the birth of a child on a mortgage can seriously reduce the burden.

Sberbank assistance program for mortgage borrowers

The security must be a mortgage of residential premises located on the territory of Russia, or rights of claim if we are talking about participation in shared construction,
The property or claim must be the only residence for the mortgagor,
The total share of the mortgagor and his family members in the ownership right should not be more than 1 other residential premises, in the amount of no more than 50%. This requirement applies to restructuring applications written as of April 30, 2015,
The total area of your mortgaged property should not exceed - for a one-room apartment - 45 square meters, for a two-room apartment - 65 square meters, for premises with 3 or more rooms - no more than 85 square meters.

Where can I see the latest data? When requesting information on the Internet about Resolution No. 373 of April 20, 2015. You should be interested in the changes dated August 11, the document is called: “On the further implementation of the program of assistance to certain categories of borrowers for residential mortgage loans who find themselves in a difficult financial situation.”

How to get a mortgage subsidy from the state

It is important to remember that state funds are non-refundable and cash payments are excluded. The program participant does not receive any amount personally, but the subsidy can be spent not only to pay off the debt, but also on other expenses associated with the purchase of real estate - property valuation, etc. To receive subsidies for most programs, the following algorithm of actions is used:

Submission and review of documents. The review may take up to 180 days.
Upon approval of the application, a certificate of social support is issued, which is valid for 90 days.
Providing the above-mentioned certificate to a credit institution, where a personal personal account is opened in the name of the applicant for subsequent transfer of funds.
Transfer of the amount guaranteed by a certificate of social support to the mortgage loan.

Where to contact

The first step is to have a clear understanding of whether the applicant falls into one of the groups of beneficiaries. The point of application directly depends on the appropriate social program: if it is maternity capital, then the Pension Fund is needed, young families need to contact the youth policy department at the city administration, large families - to the department of social protection management, and military personnel - to the department of Rosvoenipoteka under the Ministry of Defense of the Russian Federation.

The part of the state budget allocated to subsidize the population is planned in advance. The amounts of financial assistance are regulated on an individual basis, but since it is not possible to accurately determine the number of people participating in the program, assistance is provided only to those who really need it.

What documents are required

A package of documents can be provided either by personal appearance at the relevant authorities, or by sending a registered letter or through a multifunctional center (MFC). The exact list of documents may vary depending on the category of population to which the citizen belongs and the region of residence. Applicants for state support to repay a mortgage loan in 2020 must collect a voluminous package of documents informing about the situation of the citizen and his family:

an application drawn up in the approved form;
identification documents of the applicant, his spouse and children - passports, identity cards, birth certificates;
marriage certificate;
full real estate loan agreement;
bank certificate about the loan repayment period and the remaining amount of the debt;
extracts from the Unified State Register of Rights to ownership of mortgaged housing and the absence of other housing;
certificate 2-NDFL;
certificate of income of the co-borrower, if any;
certificate of no income for dependent persons;
an extract from the pension fund on the amount of the pension;
for new buildings - a share participation agreement;
assessment of the value of credit property;
bank statement on the payment schedule;
birth certificates of children and documents confirming adoption, if necessary;
upon request: a bank account statement to confirm the availability of funds to pay the down payment, or a certificate of income.

In addition to the mandatory documents required by the credit institution, additional statements and certificates may be requested. All certificates in the Unified State Register are issued on a paid basis, and in the event of a negative decision on the provision of a subsidy, the funds spent are not reimbursed. Therefore, it is worthwhile to first study the regulatory documents on the purpose of assistance to make sure that the funds will not be wasted.

Based on the results of checking the provided documents, a positive or negative response is received. The likelihood of a negative decision increases in the event of any fraud on the part of the citizen. Keep in mind that each of the submitted documents is thoroughly checked for authenticity, and if the commission has suspicions, the applicant will be brought to administrative or criminal liability. The applicant receives notification of the decision.

Current social programs for purchasing housing in Russia

The state program “Housing” provides for the development of a special housing market that will be optimally affordable for the majority of citizens, as well as the provision of such housing to categories of Russians in need. For more successful and high-quality implementation, this social housing program was divided into several subprograms.

Authorized bodies must officially recognize the family as needing housing or improving the existing one.
Each spouse must be no older than 35 years of age (if the family is single-parent, the same applies to one parent).
The family must have at least one child.
The need to provide a certificate of permanent income or an available amount of money that will allow you to make a down payment for housing.

Young family program

For several years now, a program called “Young Family” has been operating in the housing market. According to its rules, a family in need of improved living conditions can count on assistance in the amount of up to 35% of the cost of the purchased property. These funds can be used, among other things, to form a down payment on a mortgage loan.

The “Young Family” program is aimed at married couples, both with and without children, as well as single parents with at least one child. Its main requirements:

The age of each spouse is up to 35 years.
Russian citizenship for at least one of the spouses.
Sufficient income to pay mortgage payments.
The area of the family's housing does not exceed 42 square meters. m. for 2 people or 18 sq. m. for each person if the family consists of three or more people.

To receive state support under the “Young Family” program you must:

Meet the requirements listed above.
Contact the territorial Housing Department.
Fill out an application about your desire to become a participant in the program.
Provide documents according to the list.
Within 10 days, receive a decision on the possibility of inclusion in the program.

It is possible to combine maternity capital and subsidies received under the Young Family program. I would also like to note that in some regions, local authorities allocate additional funds to support the program, which allows families to receive subsidies in a larger amount than provided for by the federal bill.

AHML - assistance to mortgage borrowers in 2020: package of documents

Applies to groups of people who are affected by the project: persons who have children under the age of majority or disabled children, and in addition those who participated in hostilities
A reduction in earnings by a third on any residential mortgage loan or an increase in payments on a foreign currency mortgage loan by 30%. For comparison, three-month periods that preceded the moment of taking out a loan (1st period) and the time of application for restructuring (2nd relative period). To compare payments on foreign currency mortgages, payments are taken into account at the time of applying for economic support and at the time of receiving a loan, while both payments are translated into national currency for calculation at the Central Bank exchange rate on the appropriate date. To provide support, in addition, information for the past three months is taken into account about the amount of family income that falls on each family member, based on the minimum level of income in the region. If the amount of earnings is more than twice the minimum income level , then no assistance will be provided.
Obtaining a mortgage at least one year before submitting an application for purchasing economic support. The currency of the loan is not significant.
Submitting an application and a certain package of papers to the bank where the loan was issued, despite the fact that the bank is obliged to participate in the project.

Options

Obtaining a mortgage with the help of government authorities can be carried out in several ways:

Interest rate subsidization. It consists of compensation by the state (regional authorities) for possible losses of the bank when the interest rate on social mortgages decreases. This option of reducing monthly payments is quite risky, since the borrower will pay tax on interest when receiving material benefits. The bank will also pay tax on profits. The more mortgages with subsidies are issued, the greater the burden on the city budget will be, which will limit the number of borrowers.
Registration of a subsidy for part of the cost of housing. A person who falls under the terms of a social mortgage can choose a bank himself. Then he can receive money for the initial payment, as well as partially repay the loan amount. The subsidy can be up to 35% for childless families and up to 40% for others. By subsidizing the interest rate, part of the credit burden is removed from the borrower, and the bank will increase its customer base. Due to tax revenues, the budget will increase and the unemployment rate will decrease. The exact amount of payments on a mortgage loan is determined by the procedure for subsidizing a specific area. In any case, not all regions offer this option, and the requirements for borrowers are high.
Preferential loan. To consider the possibility of purchasing housing at a discount, the state finances the construction of social housing. Citizens can take out a mortgage in such accredited houses. To obtain preferential mortgage terms, you will have to run around the authorities, collecting all the necessary documents and certificates. The borrower should find out in advance which banks cooperate with the state on mortgages. The housing must be completed and ready for occupancy at the time of submitting documents for a preferential loan.

State program for assistance to mortgage borrowers

The rapid growth of problem loans was caused by the depreciation of the Russian national currency against the US dollar, as a result of which the standard of living of Russian citizens fell sharply. They were simply physically unable to fulfill their obligations to the lender, and their family budget would not have been able to withstand such a huge financial burden if the state had not intervened in time and launched the Mortgage Borrower Assistance Program.

Despite such a huge amount, it was not possible to get everyone in need of state support out of the credit yoke, so on August 11, 2020, the Government of the Russian Federation adopted a new Resolution No. 961, which dealt with extending the validity of the previous state assistance program for mortgage holders, for which 2 more were allocated billion rubles.

State support for mortgage lending

Standard conditions for mortgages involve attracting citizens with a stable financial situation and the absence of such difficulties.

What should vulnerable groups of the population do in this case? Are disabled people, single mothers and fathers, and families with disabled children really forced to live in unsuitable conditions?

To ensure a happy future and good living conditions for themselves and their children, such citizens can take advantage of a special program called “State support for mortgage lending .

A mortgage with state support is a special lending program that helps low-income people obtain a loan to purchase a home with preferential interest rates. The program was launched in March 2020 due to the lack of people willing to apply for mortgage lending.

The reason for the launch of the presented conditions was hidden in the growing interest rate on mortgages, which began to reach 17% in some banks.

Due to the rising interest rates, banks stopped receiving applications for mortgages, which caused huge losses for the Russian economy as a whole.

To avoid problems, the Russian government assessed the situation and formed a project according to which low-income citizens who need to improve their living conditions will pay a mortgage with a maximum interest rate of 12%.

The bank receives the remaining amount from the Pension Fund as state support. As a result of such actions, benefits are noted for the development of the banking and credit sectors, as well as construction, because most credit institutions offer loans in new buildings.

When does a mortgage with state support end?

Of course, everyone who wants to apply for such a mortgage is interested in the question of timing. The program was initially intended to last for a year, and citizens could submit documents until March 1, 2016.

The bank could “spend” another 1.5-2 months on obtaining a loan, which was not prohibited. Due to the preferential conditions, there were many people who wanted to purchase housing in this way, so as of today, banks had accumulated a large number of applications, which the credit institution still had to deal with.

Thanks to this basis, many officials proposed extending the deadlines, which pleased others, who also spoke in favor of an extension .

According to the new act, the state support program was extended until December 31, 2020.

But those wishing to purchase housing should hurry up, because some banks have an unspoken rule that they stop accepting documents a month or two before the deadline.

As a result, a person who simply does not know all the nuances does not insist and does not defend his rights. Therefore, in order not to encounter this problem, you should make a decision to purchase a home as soon as possible.

Mortgage with state support, video:

AHK official website borrower assistance program in 2020

To control financing, the Housing Mortgage Lending Agency was created, which began to play the role of an intermediary between the lender and the borrower. As a result of such a scheme, the bank receives lost financial benefits, and the borrower receives preferential lending conditions. All participants in this scheme benefit financially.

To support citizens experiencing difficulties servicing mortgage loans, last year the Government of the Russian Federation extended the Assistance Program for certain categories of borrowers for residential mortgage loans (loans) who find themselves in a difficult financial situation.

Which banks issue

There are not many banks ready to cooperate with the state in matters of supporting the mortgage sector, but there is a choice and you can find a credit institution that will offer optimal conditions in almost any region of the country.

The largest players in the market are Sberbank and VTB 24, which have offices in most cities of the country. Rosselkhozbank, Alfa-Bank, Bank of Moscow, Otkritie and many other credit organizations are also ready to work with maternity capital, military mortgages, and government subsidy programs. This list may also include regional banks represented only in certain regions of the country.

Mortgage for families with children: how to choose a program

Having children is a dubious argument for approving a mortgage. The dependent requires expenses, which are taken into account when calculating the potential ability to pay in good faith. The maximum possible monthly payment for a family with minor children should be less than for a couple with the same income living alone. But banks often have products aimed at parents, noting lower divorce rates and greater conscientiousness among such borrowers.

The state also intervenes by offering family programs to citizens in need of housing and interest write-offs for the birth of heirs.

When planning to apply for a loan for the required area, you need to consider the possibility of participating in the “Young Family” program for borrowers under 35 years of age and “Affordable Housing”. These packages include benefits for parents.

A lesson from a realtor about mortgages and benefits

The video describes in detail what a realtor should tell his client who is looking for an apartment with a mortgage, and since he is directly interested in the transaction, realtors should be aware of all the benefits and compensation provided for the birth of the first, second, third child.

It is possible that a “children’s housing deduction” will be introduced in Russia, according to which the state will assume partial repayment of the housing loan after the birth of a child in a young family.

O. Batalina, who holds the position of head of the State Duma Committee, added that a family can count on a mortgage deduction at the birth of a child with each subsequent addition to the family, and thus will be able to receive it many times over. Each addition to the family will allow you to receive a “children’s deduction” and reduce the cost of mortgage payments.

The issue of helping newlyweds find their own home was also considered. This will be possible through the creation of housing construction cooperatives in which large companies will participate.

At the moment, the problem of buying an apartment is partially solved with the help. But this is not always a significant help, given the insufficient financial support for young families, who often do not have the opportunity to even think about a mortgage loan.

The housing problem is one of the most pressing problems for the Russian population. Almost a third of our compatriots have serious difficulties with housing, urgently needing separate living space, or significant changes in their living conditions.

Astakhov supported the idea of forgiveness of mortgage debt for the birth of children

Olga Batalina’s proposal to have the mortgage repaid by the state upon the birth of a child was supported by Pavel Astakhov:

The proposal to “forgive mortgage debt” upon the birth of a child must be supported. The family of a newborn needs housing more than others.

What is financial support?

The mortgage borrower assistance program includes the following measures:

A mortgage issued in the currency of a foreign country is transformed into a loan in rubles. For this purpose, the Central Bank exchange rate established on the date of signing the additional agreement is used.
Establishing a lower interest rate for the entire remaining loan term (no more than 12% for loans in rubles).
Reducing the amount of monthly contributions for a period of up to 18 months in total does not exceed the maximum amount of compensation (up to 600 thousand rubles).
Postponement of monthly payments to a later date.
Providing a subsidy for one-time write-off of part of the debt (up to 20%).

The period for providing financial assistance ranges from 6 to 18 months, its duration is determined by the lender, based on the characteristics of a particular mortgage.

The bank does not have the right to charge any fees for restructuring. Payment of subsidies for mortgage repayment and other costs associated with restructuring are paid from the federal budget.

Third baby in the family: government assistance with a loan

The third baby transfers the family to the category of large families. State support for fertility provides a number of benefits to such parents. In addition to maternity capital, which is given at the birth of a third child, the Russian Federation at the federal level directly improves housing conditions. The law stipulates the obligation to provide such families with housing. Regions are given the right to determine for themselves the form of implementation of the program: in some regions, the mortgage at the birth of a third child is written off in full or by a certain amount. This depends on the balance of the debt and on the size of the subsidy allocated by the regional budget.

When a child is born in Sberbank, it is carried out at the expense of public funds. That is, you need to apply for a benefit not to the bank, but to the local administration. There you can also clarify the benefits and subsidies available in a particular region. To apply for benefits you must present:

parents’ passports and certificate of their marriage;
birth certificates for each child;
agreement with the bank and confirmation of the owner’s rights to the property;
a statement of the current status of the loan account and the share to be written off.

State assistance for the birth of a child under a mortgage under a number of programs is limited to 2016, the issue of extension is still being discussed.

Regional budgets of regions, especially those experiencing a demographic deficit, often join federal programs. You can find out from your local municipality how to write off your mortgage when you have children or get other benefits in your specific locality.

For most mortgage projects, the first payment is 20%, which is unaffordable for certain families. For Affordable Housing (or Young Family) it is 10%. To become a participant, it is enough to meet the age limit (up to 35 years) for at least one of the spouses and be officially married.

Mortgage repayment options

Repayment of the mortgage at the birth of children can be done through government payments intended for the mother to support the baby. As is known, this subsidy only has a clearly defined list of purposes for which it can be spent. Improve living conditions, incl. and for the baby it is one of them. Therefore, money can be used for the following purposes:

transfer towards the first installment;
monthly payment to repay the loan;
payment of the balance of the mortgage.

A young family should first assess the need to use state capital for a child and apply for a mortgage in a bank that takes part in such projects.