Will social mortgages be provided to low-income families in 2021?

Definition of social mortgage

Social lending is housing lending on preferential terms with state support. Three parties cooperate in such programs:

• State (executive authorities);
• Financial organizations of various forms of ownership;
• Citizens are potential borrowers.

For families and citizens who are unable to repay the loan on their own, the state provides various types of assistance:

• Partial compensation of the rate from the budget;
• Targeted subsidy (specifically for mortgage payment);
• Preferential loan for the purchase of social real estate.

Regional authorities have the right to regulate some measures to support low-income families independently, using funds from the local budget. Under these programs, the municipality can allocate housing to low-income families that it owns.

Legislative regulation

To receive a social mortgage, citizens need to obtain low-income status. The rules for confirming status are established by Federal Law No. 178 of July 17, 1999. Specifically, the conditions of financial assistance for housing issues are regulated by the following laws:

• Art. 52 of the Housing Code of the Russian Federation, which stipulates the conditions under which a family is designated as needing assistance in purchasing a home;
• Art. 220 Federal Law No. 117 of the Tax Code of the Russian Federation establishes the rules for tax deductions for low-income citizens.

Mortgage lending rates are set by banks issuing loans based on the exchange rate according to the Central Bank of the Russian Federation.

Characteristics of social mortgage lending

In general terms, a social mortgage looks like this:

• The borrower buys an apartment on credit;
• Cash is not given to the client - the money is transferred directly to the seller;
• The owner of the apartment receives a certificate of ownership of the property after concluding a purchase and sale agreement;
• The owner can dispose of housing at his own discretion;
• During the term of the mortgage agreement, the real estate plays the role of collateral.

After the final settlement with the lender, the housing is released from the encumbrance; until this moment, its owner does not have the right to donate or sell the apartment, or re-mortgage it.

If the client has arrears on the mortgage (late payments), the bank has the right to sell the property to get its money back. So government benefits and guarantees do not relieve a citizen of the obligation to pay his bills to the bank on time.

Who can apply for a social mortgage

The expenditure of budget money is strictly controlled. If the family lives in normal conditions, the state prohibits providing such people with mortgage benefits. This means that selection criteria have been developed for participants in social programs.

General requirements for applicants for a social mortgage:

1. Two or more families live in one apartment;
2. The applicant does not have his own living space;
3. The family is registered in a dormitory or in a communal apartment (time spent studying or seasonal work is not taken into account);
4. People live in premises that do not meet the standards for space (established by the constituent entities of the federation) or sanitary and hygienic conditions prescribed in the Housing Code of the Russian Federation.

Teachers, doctors and other state employees whose salaries are provided by the state can apply for participation in the program. They must work in their specialty for at least three years.

For military personnel (army, police, customs, rescuers, firefighters) there is also a military mortgage, in which the state also provides support, but they can also participate in general social housing lending programs.

In addition to general criteria, each program also has its own conditions. Only applicants who meet all the requirements can participate. Write a statement to the head of your organization (chief doctor of the clinic, head of the kindergarten, unit commander). Social mortgages for young and low-income families are provided by local governments.

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Conditions for real estate benefits

According to the program for low-income families, it is impossible to purchase a cottage, townhouse or house, since the loan is provided only for the purchase of an apartment.

According to the terms of the program, special requirements are imposed on the selected housing. Not every selected apartment is suitable for a mortgage. The basic requirements for credited housing are as follows:

1. The apartment must be located on the territory of the Russian Federation.
2. The room should have a bathroom and a separate kitchen.
3. Housing must comply with the BTI plan, that is, there should be no deviations from it or illegal extensions.
4. The room must have a connection to a heating system, that is, to one of the types of boilers: steam, electric or gas.
5. The property must not be encumbered. This means that it should not be under a mortgage from a banking organization, be a cultural heritage site or a protected area.
6. Special requirements are imposed on the state of internal and external communications. This applies to the roof, windows and doors. They must be in good condition. Sanitary characteristics must comply with established standards.

In addition to the basic requirements, the appraiser will inspect the adjacent and adjacent areas, and then reflect the information he saw in the report.

Mortgage programs for state employees

Social mortgages for preferential categories of citizens also combine bank lending and government support in order to improve their living conditions.

Social mortgage for young teachers

The right to a preferential mortgage is reflected in the certificate. The regional education department together with local authorities draw up lists of applicants. Participants must meet the following conditions:

• Age – up to 35 years;
• Place of work - government agency;
• Work experience – from 3 years.

Rates and down payment for this category are significantly reduced. One of the spouses participates in the program. In 2021, the maximum subsidy amount does not exceed 11 million rubles.

Social mortgage for young scientists

To participate in the program, the applicant only needs to write an application addressed to his supervisor. To receive a certificate, a young scientist must work in the chosen field for at least 5 years. The presence of a family and children in this case will not affect the terms of the loan. The generated list of applicants will be sent to the Academy of Sciences, where beneficiaries who can count on state support are approved.

Mortgage for military personnel and doctors

Social mortgages are issued to military personnel through participation in the NIS. The applicant must make contributions to the savings system for at least 3 years. The accumulated funds are subsequently used for a down payment on a mortgage (at least 10% of the cost of the purchased home). To receive benefits, they issue a certificate, which must be presented to the bank.

Where to apply for the document? A serviceman can receive it in his unit if he writes a report addressed to his superior. A military man can buy an apartment in any region of the Russian Federation, regardless of registration. The age limits for this category of clients are more strict: at the time of closing the mortgage, the borrower must be under 45 years old.

A preferential mortgage is provided to a medical worker only if he does not have his own home and the medical institution really needs his services.

Advantages and disadvantages

A mortgage for low-income people is a real opportunity to buy your own home in the absence of a good income. On the other hand, the funds allocated by the state to support privileged categories of the population are not enough for everyone. The applicant will have to be patient and persevering to collect all the required papers. You also need to remember that state guarantees and the assistance provided do not eliminate the need to regularly contribute your own funds to pay off the mortgage loan. Lack of payments or regular delays may cause the purchased home to be sold to pay off the debt.

Types of government programs for low-income families

In addition to projects for certain categories of citizens (doctors, teachers, military personnel), banks, with the support and guarantees of the state, are also developing programs designed for any citizen of the Russian Federation.

One of these projects is “Affordable and comfortable housing for Russian citizens.” It includes several subprograms at both the federal and regional levels, covering the main categories of citizens (preferably all).

Social mortgage for young families

This project is designed for families in which at least one spouse is under 35 years of age. It is he who will be a participant in the program. Not the last argument will be the presence of children in the family. An applicant for a mortgage must be registered as citizens in need of improved housing conditions.

Money from the state budget in this project is distributed as follows: 40% - for families with minor children, 35% - for those who do not yet have children. The state will compensate the bank for the amounts calculated to pay for square meters at the rate of 18 square meters. m per resident.

Support for people waiting in line for an apartment

This project is designed to solve the housing problem of citizens who have long declared their rights. State support is provided in the form of:

• Subsidies intended to repay a housing loan;
• Lending to social real estate that the municipality sells at an affordable price.

This program is suitable for regions with their own housing stock.

Maternal capital

After the birth of the second and subsequent children, the state issues a certificate to the family with a certain amount of money, which can be used only for its intended purpose. This capital can be used to pay a down payment on a mortgage or be used to pay off any portion of the loan.

Look at the same topic: How to get a mortgage without a down payment in Sberbank?

The right to participate in the social mortgage program is given to citizens only once. Regarding maternity capital, everyone can receive it, regardless of the housing benefits already used.

Mortgage AHML

The Housing Mortgage Lending Agency (AHML) is a government agency that provides subsidies for housing for low-income people. Lending conditions with the support of AHML:

1. Reduced interest rate;
2. Minimum down payment amount;
3. Opportunity to purchase housing at a price below market value.

Representative offices of this agency operate in all regions of the Russian Federation.

The procedure for applying for state assistance

Despite the variety of mortgage programs, the rules for participation in them are general:

• Explore all offers relevant to your region.
• Compare conditions to assess whether your family meets the requirements for project participants.
• Check the availability of banks that support budget programs.
• Study all the details of mortgage lending, especially those that relate to your family (the possibility of using maternity capital, benefits for families with children, etc.).
• Make a list of documents to be submitted to the authorities and the bank.
• Prepare documentation.
• Apply to your local authority or authority that deals with social mortgages. It is better to do everything at the beginning of the year, since the queue of applicants for state support is formed in advance.
• Wait for your application to be approved.
• Get your certificate or open an account.
• Contact your bank to apply for a mortgage loan.
• Buy a home and pay off your debt on time.

When choosing an apartment with a mortgage, ask if there is social housing in the region - municipal apartments are always cheaper.

Terms of use

Since social cards are issued by more than one authorized body, special restrictions are imposed on their use.

• The card has a validity period, which can be extended by contacting the social security department.
• When changing place of residence or adding to the family, you need to provide this data to social security, since benefits change depending on the conditions and circumstances. If a citizen loses his low-income status, the social card cannot be used.
• If the card is lost, then to restore it you need to contact the bank that issued it. It is advisable to do this immediately.