The President proposed to expand the housing choices of preferential mortgage

Russian President Vladimir Putin proposed to extend preferential mortgage at 6.5 percent per annum and increase the marginal cost of housing included in the program.

the Head of state in an address to the citizens of the country noted the need to “expand opportunities for choice of comfortable, modern housing.”

“In this regard, I propose to extend preferential mortgage on a new home value not to three, like before, and up to six million rubles. And in the largest Metropolitan areas – Moscow and St. Petersburg – up to 12 million rubles.”

under the program, which was created by order of Russian President Vladimir Putin, it is possible to buy an apartment in an apartment building, if it’s a shared construction. Now under the terms of the mortgage at 6.5 percent per annum to get a loan at a reduced rate is possible until 1 November 2020. Rate is valid for the entire term of the loan, the maximum loan term is 30 years. The maximum mortgage amount is for Moscow and St Petersburg 8 million rubles for other regions — 3 million rubles with an initial payment of 20 percent.

Russian banks by the end of may took 120,8 thousands of applications for mortgage loans at a rate of 6.5% per annum. Approved 81,9 thousands of applications (83% of all applications) to process loans. Banks have already issued 22,8 thousand mortgage loans for 57.5 billion rubles, while 97% of loans accounted for 15 of the largest banks.