AHML, or the Agency for Housing Mortgage Lending, was organized in the second half of 1997. The basis for its creation was a government decree dated August 26, 1996.
All shares of OJSC AHML are in state ownership.
The purpose of forming this structure in the Russian Federation is the following:
- Create uniform standards for residential mortgages.
- Ensure the availability of mortgage loans for the majority of Russian residents throughout its territory.
- Create conditions for refinancing mortgage loans.
- Create a secondary market for mortgage-backed guarantees.
- To form a market for mortgage-type securities.
Decree of the Government of the Russian Federation No. 628 of August 25, 2001 provides for the Agency to borrow funds from the federal budget in the form of state guarantees.
Advantages
Mortgage from AHML in 2021 has its advantages:
- You will be protected. The program is supported at the state level.
- Transparent financing conditions. You will pay only the loan amount and the interest specified in the agreement, without hidden fees.
- No guarantee required.
- Mortgage interest rates are lower than conventional bank lending.
- Online service and the ability to complete a transaction at the branch nearest to you.
Features of a mortgage loan from the state
First of all, such a mortgage is distinguished by a small down payment of 15% of the cost of housing. While banks require you to make a down payment of 20 to 50%.
If you look from the other side, a small down payment is not such an advantage. After all, the smaller the amount you deposit initially, the more you will owe. And interest accrues on the debt annually. In addition, we know from mortgage practice that the lower the down payment, the higher the interest rate, as a rule. So in any case, try to make as much of a down payment as possible, even if only 15% is possible.
But where there are advantages, there is always a downside. It will not be possible to take out a mortgage through AHML for any housing you want. Since the state is interested in new construction, especially at the expense of the citizens themselves, the loan is issued primarily for housing under construction and new, primary housing. In addition, you can only choose an economy class apartment, no luxury apartments.
The next feature is the low interest rate. The lowest interest rate offered by the agency is 5% per annum. However, this rate will be offered only to residents of the Far Eastern Federal District, in whose family a second or subsequent child was born after January 1, 2021. The average rate is 10.3–10.5%. Although, it is worth noting that even the highest mortgage agency rates are still 1-1.5% lower than the highest bank rates (except for military mortgages). And in the case of the mortgage amount, this is a fairly significant difference.
The next feature of state housing lending is the strict requirements for the borrower. If many banks are ready to “turn a blind eye” to a small or unstable income, lack of salary certificates or citizenship, for the sake of profit and luring clients, then the agency has no end to clients. The agency’s task is to ensure that all borrowers repay their mortgage in full and on time. Therefore, if there are any doubts about the reliability and solvency of the borrower, then the mortgage will simply not be approved for him.
The remaining “features” of AHML, called advantages, are not very different from the mortgage conditions of many banks:
- loan term up to 30 years;
- no penalties or prohibitions on early repayment;
- no hidden fees.
All conditions are the same as those of most banks that are interested in clients.
One of the advantages is also “reliable protection of the interests of the borrower.” Interestingly, we expect the state to protect these interests by default, not as an advantage.
State mortgages and insurance did not escape, although with some clarifications. If your first mortgage payment is 30% of the cost of housing or higher, then you only need insurance for the apartment you are purchasing, against damage or loss. And if your down payment is less than 30%, you will have to take out insurance, and immediately for all eventualities, which includes the life and health of the borrower.
Like most banks, AHML accepts maternity capital as payment for a mortgage. True, banks most often allow you to use it only as a down payment. Here you can use maternity capital to pay payments and even for early repayment of the mortgage. By the way, in 2021 maternity capital totals 453,026 rubles.
Mortgage programs
Loan terms:
- A person between 21 and 65 years old can become a member.
- An entrepreneur who has been operating for 12 months, or an employee with continuous work experience of at least 6 months, can obtain approval of the application. at your current workplace.
- Repayment period 3-30 years.
- The minimum amount is 300,000 rubles.
The loan term and interest rates depend on the type of mortgage. Conditions vary for the types of housing purchased. Some categories of citizens can take advantage of preferential programs with reduced interest rates.
Registration and package of documents
The following can apply for a mortgage with state support from AHML:
- exclusively a citizen of Russia;
- who is over 21 years of age;
- will not be 65 years old at the time of full repayment of the loan;
- monthly payment amounts should not exceed 45% of the borrower’s monthly income;
- There can be no more than 4 borrowers; in this case, the amounts of their income are summed up and the average salary is displayed. Then the monthly payment should not exceed 45% of the average income per person.
The list of documents for obtaining a mortgage is standard, since banks mainly focus on the agency in terms of document requirements:
- passport with permanent residence permit;
- TIN;
- SNILS;
- income certificate 2NDFL or a special certificate in the agency form;
- You may also need a copy of your work record, certified by the employer.
Important! Some programs support the “Easy Mortgage” option, under which there is no need to provide income documents to the bank.
In 2021, a special government order was issued providing assistance to mortgage debtors, primarily those who took out a foreign currency mortgage and now cannot pay it off due to a sharp change in the ruble exchange rate to the currency. ATZHK continues to provide assistance to such borrowers in 2021. The support is as follows: the agency refinances the mortgage loan, that is, it buys it from the bank and the borrower will owe the agency. The loan currency will be changed to rubles, and at a rate favorable to the borrower. The mortgage interest rate will be reduced so as not to exceed 11.5% per annum for foreign currency loans, and for ruble loans - to be at the level of the current interest rate at the time of restructuring. The accrued penalty for late payment will also be written off, and loans in dollars and euros will be reimbursed in the amount of 30% of the debt, but not more than 1.5 million rubles.
Ready housing
Mortgages are possible in both the primary and secondary markets. According to the rules, lending includes apartments, houses, cottages located outside the city, land plots with or without buildings located on them. Loan rate from 10.25%. According to the terms of the loan, it is necessary to obtain personal insurance for the borrower. In case of refusal of insurance, the interest rate increases.
You can use the AHML program if you want to purchase a building that will not be intended for permanent residence. To do this, you need to contribute at least 25% of the cost of a country house, dacha, cottage, or land plot for development. The minimum amount of credit funds is 300,000 rubles.
Reviews
So far, few have been able to obtain a mortgage through a mortgage lending agency, although the organization has been operating for a long time. Either the requirements for borrowers are too strict, or citizens trust commercial banks more. However, those who managed to obtain a mortgage were satisfied with the conditions and low rates.
But the mortgage debtors whom the agency tried to help are mostly unhappy. Especially the deadline for re-registration and redemption of their loan from the bank. The fact is that while the procedure is going on, borrowers do not pay their fees, during which time they accumulate even more significant debt, as a result they remain in debt to both the bank and become indebted to the agency.
AHML Mortgage Borrower Assistance Program
This type has preferential terms for receiving funds and a reduced interest rate.
The family loan is aimed at helping mortgage borrowers: families who will have a second or third child between January 1, 2021 and December 31, 2022. Both new borrowers and those who have previously signed a contract for a different type can take part in the program. Reduced interest rate, from 6%. The period depends on the number of children:
— upon the birth of the second child, the grace period is 3 years;
— for 3rd–5 years;
– for 2nd and 3rd – 8 years.
What is AHML and how is it useful?
This is an agency for issuing mortgages to all citizens of the population. It acts as an intermediary between borrowers and the state, but in fact, the state itself gives you money. Today, the structure is engaged in issuing mortgages to the entire population, as well as purchasing debts from banks for previously taken out mortgages. A large share of the agency's clients are those who once took out a foreign currency mortgage. After the dollar greatly increased in value, it became simply impossible for ordinary citizens to pay off such loans. The cost of a mortgage has more than doubled. It was precisely to “save” such borrowers that the state, through the organization it created, devoted all its efforts.
Most often, the agency buys out a loan at the request of a borrower who cannot repay it. But, there are times when a bank independently sells mortgage loans, for its own reasons and considerations. In this case, nothing changes for the borrower, his debt is transferred in full to another organization, he continues to pay monthly payments in the same amount, just to a different account.
The benefits of this organization are obvious; it helps borrowers not to go completely bankrupt or to take out a mortgage on convenient terms with government support.
Military mortgage
The program can be used by military personnel who are participants in the savings-mortgage system. You can get a military mortgage after 3 years of participation in the NIS.
The project makes it possible to buy a home with almost no personal finance. Monthly repayment of the loan and making a down payment are made from funds that go to the personal savings account. A service member can use his money to increase the size of the down payment, this allows him to purchase property of greater value.
This website is for informational purposes only. Official website of the bank: dom.rf
Which banks work with the agency and how?
Many leaders in the mortgage lending market cooperate with AHML. Cooperation began especially actively in 2018 in connection with the launch of a mortgage program at 6% per annum and refinancing at a similar rate. You can contact banks:
- Sberbank;
- Gazprombank;
- Russian capital;
- Primsotsbank;
- Moscow Industrial Bank;
- RELIABLE HOME;
- Asia Pacific Bank;
- Moscow Mortgage Agency;
- Globexbank;
- BINBANK, etc.
The borrower signs a loan agreement with a credit institution and is subject to its conditions for early repayment of the loan, the accrual of penalties, and the forced sale of collateral in case of prolonged non-payment of the loan. But the borrower’s compliance with AHML standards is checked at the application stage.
Requirements for borrowers to issue a mortgage
Banks participating in the program accept the agency's terms and conditions and issue loans in compliance with general standards. The standards developed by the agency describe the process of issuing a mortgage, the process of refinancing and support.
The standards also contain general requirements for all parties involved in transactions, the main parameters of a mortgage-type credit transaction, the borrower, concluded agreements, and so on.
The main requirements for the borrower , as set out in the AHML standards:
- The borrower must have Russian citizenship and be registered at the place of residence or stay at the time of applying for the loan.
- The loan is issued to citizens aged 18-65 years.
- One agreement can have no more than three borrowers.
- The borrower must confirm income by presenting a 2NDFL certificate, or fill out the form proposed by AHML.
More detailed information is available on the official website of AHML. The Agency exercises control over how these standards are disseminated and observed throughout the Russian territory.
Main activities of AHML
The main activities of the mortgage agency are aimed at developing the mortgage product in Russia and providing Russian banks issuing mortgage loans with liquidity (credit capacity).
The country has a federal-level AHML and regional-level agencies under its control.
The parameters of the main terms of the loan agreement offered by AHML are more attractive than those offered by private banks. This is due to government policy aimed at making mortgage loans accessible to Russian citizens.
But, as for additional expenses, here banks have the opportunity to introduce certain nuances in the direction of increase.
Mortgages are provided to citizens through partners according to two schemes:
- Redemption of mortgages on loans issued by partners . The partner bank issues a loan to the recipient on AHML terms. Then the rights to claim the loan are transferred to the agency, which refinances the loan and reimburses the banking organization for the required amount.
- Using agent technology . A mortgage loan is issued remotely, from the AHML balance sheet. Documents from the borrower are transferred to the banking organization, but AHML independently checks and approves them.
The banking organization that maintains the mortgage portfolio is VTB24 Bank, which accepts payments from borrowers and issues the required loan certificates.
AHML also issues single-tranche mortgage-backed securities on a programmatic basis as part of the MBS Factory .
“The MBS Factory” was created on behalf of the President of the Russian Federation V.V. Putin following the meeting of the State Council on the development of the construction complex and improvement of urban planning activities on May 17, 2021.
It is a tool for attracting financing to the Russian mortgage market and, as a result, increasing the volume of mortgages issued at lower rates.
