“Young Family” program in 2021 - mortgage conditions

In Russia there is a state program aimed at providing assistance to provide housing for young families . With its help you can get a subsidy for the purchase of residential real estate. There is no need to repay the funds: this is not a loan or a mortgage . However, the state is ready to help not all families, but only those who meet certain conditions. The main requirement is that participants must be under 36 years of age . If at least one spouse or single parent is in a single-parent family with children over this age, then you cannot participate in the program.

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Previously, the country had a Federal Target Program “Housing”, which included the “Young Family” subprogram, but in 2021 it was discontinued. In 2021, young families can count on state support for the purchase or construction of housing under another departmental target program - “Providing state support to citizens in providing housing and paying for housing and communal services.”

The payment amount is 30% or 35% of the estimated value of the property . Compensation for the purchase of an apartment can be received by both parents with one or more children, and young spouses without children. Moreover, in order to become a participant in the program, you need to collect a package of documents and get in line to receive a subsidy at the authorized department of local government. Social benefits can be used to purchase an apartment in a new building or finished housing, as well as for construction, a down payment or repayment of a mortgage.

Waiting for your turn to receive government support is not so easy, but every year funds from the federal budget are allocated for subsidies, and many families actually receive money for housing. For now, the program has been extended until 2025 inclusive , and families still have a chance to apply and receive a subsidy for the purchase or construction of housing.

Program conditions in 2021

Basic requirements for participants in the program for young families:

• the age of each spouse is not older than 35 years ;
• the spouses are officially married, or the applicant has at least one child;
• one of the spouses has Russian citizenship (if a single parent participates in the program, he must be a citizen of the Russian Federation).

The Government has also established additional criteria that a young family must meet in order to become participants in the program. These include:

• Solvency . To receive a housing subsidy, a family must demonstrate that it has sufficient funds to pay the remainder of the cost of housing on its own, or to make a down payment on a mortgage or pay off the balance of the debt on a home loan. For this, a certificate from your place of work about the amount of your salary (2-NDFL) or a bank statement about the availability of savings is suitable. If a family does not have the money to pay the remaining balance for an apartment or house, then it will not be able to participate in the program.
• Status in need of improved housing conditions . Only those families who do not have their own housing or the area of ​​​​the premises in which they live are less than the accounting norm established in the region for one person are entitled to a subsidy (as well as for other circumstances specified in Article 51 of the Housing Code - Housing Code of the Russian Federation).

The need for housing is determined according to the accounting norm. It is set by the municipality, and in each region this value may be different. For example, in Moscow - 10 sq. m per person, in Bryansk - 14 sq. m. m., and in Khabarovsk - 11. You can find out whether your family can qualify for a subsidy at the local administration, social security department or MFC.

Benefit for young families in Moscow

Every year the Moscow government updates the list of social benefits and their amounts, including those that apply to families with minor children. For 2021, the current types of regional child benefits available to families regardless of age are set forth in the capital city government decree No. 2260-PP dated December 16, 2020, for example:

• in addition, pregnant women are paid from the city budget an allowance for registration for medical registration for up to 20 weeks, as well as an additional benefit for pregnancy and childbirth (1,643 and 648 rubles, respectively);
• At the birth of each child, a compensation payment is allocated, the amount of which depends on the order of the children - 6,023 rubles. for the firstborn, 115,879 rubles. for the second and subsequent children;
• separate benefits are provided for large families (compensation due to the rising cost of living, for the purchase of children's goods, for utility bills, for school uniforms) - the amount of monthly compensation supplements directly depends on the number of children in the family;
• a number of compensation payments to single parents (the amounts of additional payments are differentiated for those who are already recipients of assistance from the budget and for those who do not receive monthly child benefits), etc.

Directly, young families in the capital are paid an additional benefit, calculated as a multiple of the capital's subsistence minimum per capita. In 2021, the cost of living is 18,029 rubles, respectively, the benefit for the birth of the first child will be 90,145 rubles. (5 x 18,029), second child - 126,203 rubles. (7 x 18,029), third – 180,290 rubles. (10 x 18,029).

This benefit is assigned and paid on the basis of Decree No. 199-PP dated 04/06/2004. Families where at least one of the parents (or the only parent) has a place of residence in Moscow can apply for such a payment. Until 2021, this capital benefit was paid to a young family under 30 years of age, but now both parents (single parent) must be under 36 years of age (Moscow Law No. 6 of March 24, 2021).

Subsidy amount

The state transfers only part of the cost of housing to the family, and not the entire amount . Moreover, the size of the subsidy depends on the estimated cost of housing , and not on the actual price under the purchase and sale agreement. It is calculated as follows: the standard cost of 1 square meter of housing established in the region is multiplied by the estimated area standard.

The standard cost per square meter of residential premises is set by the municipality, and the estimated area standard depends on the number of family members. So, for a family of two people the calculated norm is 42 square meters. m., for a family of three or more people - 18 sq. m for each family member.

In accordance with clause 10 of the Rules for the provision of subsidies, the amount of state support is no less than:

• 30% of the estimated cost of housing for young spouses without children;
• 35% - for a family with at least one child.

Example

Average market value of 1 sq. meter of housing used to calculate the amount of the subsidy (Order of the Ministry of Construction No. 557/pr dated September 29, 2020) in the Ivanovo region for the fourth quarter of 2021 is 34,851 rubles. The standard living space for a family of three is 54 square meters. meters. The estimated cost of housing is 1,881,954 rubles. (34,851 × 54). This means that the amount of the subsidy under the program will be 658,684 rubles. (35%).

Regulations

This program is based on the following regulatory documents:

• Resolution of the Legislative Body of the Irkutsk Region No. 7/26-ЗС dated March 16, 2005 “On the social housing program for young families for 2005 - 2021.”
• Resolution of the Legislative Body of the Irkutsk Region No. 3/39-ЗС dated November 22, 2008 “On amendments to the social housing program for young families for 2005 - 2021.”
• Resolution of the regional administration No. 249-pa dated 09/02/2008 “On the conditions for recognizing a young family with sufficient income to pay the estimated cost of housing.”
• Resolution of the Irkutsk city administration No. 031-06-2031/12 dated October 11, 2012 “On approval of the Subprogram “Affordable Housing for Young Families” for 2013 - 2021.”

How to use the subsidy

In 2021, housing subsidies can be spent in the following main areas:

1. For the purchase of finished housing on the secondary market.
2. Purchasing an apartment in a new building (you can pay not only through an escrow account, but also directly to the developer, but only on the condition that he pays contributions to the shareholders’ fund).
3. Construction of a private house.
4. Making a down payment or paying off the remaining balance of a mortgage.
5. To purchase real estate through a housing cooperative.

From August 1, 2021, debt and interest on a mortgage can be repaid not only under the main agreement, but also under the refinanced one . That is, if a family first took out a mortgage and then refinanced it at a better interest rate, they can still use the subsidy to pay off the mortgage.

Housing purchased with government support must also meet the following criteria :

• The apartment or house must be located in the same region where the application for participation in the program was submitted. For example, if a family is in line to receive a subsidy in the Bryansk region, it cannot buy an apartment in Moscow with state support funds.
• Housing cannot be purchased from close relatives. The economic class of housing (economy, comfort, business class) no longer matters - the family can choose any living space according to their taste and financial capabilities.

In this case, money is not issued in person - all transactions are carried out only by bank transfer through a bank. The scheme is this: the family has chosen an apartment or house and is ready to pay money to the seller or developer. After that:

• First, the spouses go to the bank and submit a document confirming their right to receive a subsidy.
• The bank contacts the administration, receives confirmation and only then transfers the payment for the amount specified in the certificate.
• The money is transferred to the seller's bank account; nothing is issued in cash.

How to become a participant in the state program

To qualify for participation in the mortgage program for a young family, spouses need to:

1. Contact a credit institution and fill out an application. Please fill out your personal and contact information in the form. Check the information carefully, as if an error is identified, the loan will be denied.
2. Wait for the organization's decision.
3. If the decision is positive, collect the necessary documents and present them to the FSO officer.
4. Wait for the check to finish. Bank employees analyze and verify the received data. Some applicants may receive a call to verify certain information.
5. Execute the agreement after passing the verification.

The administration will also need to clarify the standards and requirements for housing. When the lender receives information that money is being allocated for your family, you will need to obtain a certificate for the subsidy. The application must be written within 15 days. You need to come to the bank with this certificate to further apply for a mortgage.

How to participate in the program

Below are detailed step-by-step instructions for receiving subsidies to improve housing conditions for young families in 2021.

Step 1. Contact the housing department of your local administration.

This is necessary to find out the specific requirements, to clarify whether the family really fits the program criteria, and to obtain a list of necessary documents. Despite the fact that the conditions of the program are common to everyone (they are established by Decree of the Government of the Russian Federation No. 1710 of December 30, 2017), local authorities have the right to supplement and change them.

Step 2. Collect documents.

Here is a list of documents from federal requirements, but localities may have their own peculiarities:

1. Application for participation in the program.
2. Copies of spouses’ passports and children’s birth certificates (if any).
3. SNILS numbers.
4. A copy of the marriage certificate.
5. A document granting the status of a family in need of improved housing conditions.
6. Certificate of income or savings.

If a family plans to use the subsidy to pay off a mortgage that it already has, it will additionally need:

• extract from the Unified State Register of Real Estate on the right of ownership of housing;
• a copy of the loan agreement;
• a certificate from the bank about the balance of the debt.

Step 3. Become a participant in the program.

Administration employees take the documents for verification and within the next 10 days make a decision whether to include the young family in the list of program participants or not.

Making a positive decision does not mean that the family will definitely be given money to buy a home. You can stand in line for years and still not get anything. First you need to wait until the family is included in the list for funding .

You can only participate in the program once in your life. If for some reason the family does not qualify for the program or both spouses are over 35 years old, then it can improve their living conditions with the help of other government programs. For example, receive a subsidy in the amount of 450,000 rubles to pay off a mortgage or use maternity capital in 2021 to purchase a home.

Step 4. Wait in line.

The list for funding is formed in stages: first it is compiled by the local administration, then it is transferred to the regional administration, and it is transferred to the federal level. Applications are sent annually, before June 1 .

When it becomes known what funding the region will receive, the administration will form a list of which families will receive the money this year.

Unfortunately, the reality is that even in small regions there are hundreds of families in line to receive subsidies, and only 15-20 families a year receive support. On average, people spend 2 to 4 years in line to receive social support. During this time, one of the spouses may already turn 36 years old or the family will buy an apartment for itself.

Once a family is on the list, they will be informed about this and asked to write an application for a certificate - a special document that confirms their right to receive a subsidy under the program.

Step 5. Issue a certificate and open a bank account.

An application for a certificate must be written within 15 days after the administration informs the family that money has been allocated for it. The document is valid for 7 months . If you do not find suitable housing and do not collect documents for payment within this period, the right to receive state support expires.

Attention!
For certificates under the “young family” program issued in 2021 between February 1 and May 5 , the validity period has been increased to 9 months.
The certificate must be taken to the bank and a special account must be opened to which budget money will be transferred. This must be done within a month from the date of receipt of the certificate.

Step 6. Prepare documents for payment.

In order for the bank to transfer money to pay for the property, it needs evidence that the money is being used to purchase housing and not for other purposes. The list of supporting documents depends on the type of transaction:

1. Loan agreement, if we are talking about a mortgage.
2. Contract of sale.
3. Construction contract.
4. Agreement on participation in shared construction.
5. Certificate of debt balance and interest on the loan.

If everything is in order, the bank will transfer the money to the seller or developer. So the family will pay part of the cost of the living space from the state budget.

Child benefits for young families (2021)

Conventionally, all types of benefits can be divided into “children’s” and housing benefits. Cash “children’s” payments at the federal level apply to all categories of families with children, regardless of the age of the parents. Their main goal is to stimulate the birth of first children at a young age and to increase the number of large families in all age ranges. To achieve such a complex goal, a number of one-time payments have been established (for example, birth benefits, maternity capital) and compensatory monthly benefits, accrued in fixed amounts or linked to average earnings (for low-income families, the method of comparing family income with the subsistence level is more often used).

The table provides general information on basic benefits for families with children (including young families):

Additionally, separate cash payments may be introduced at the regional level. For example, in many constituent entities of the Russian Federation there is a practice of monthly payments from the regional budget at the birth of the third and subsequent children, and it is also possible to pay regional maternity capital. To stimulate the birth rate, young families may be paid one-time benefits upon the birth of a child. A number of benefits can also be established - free travel on public transport, the allocation of days for free visits to museums by large families, the introduction of discounts on utility bills, etc.

Last news

At the end of 2021, it was made easier for young families to receive housing payments - now apply for social benefits. assistance for purchasing a home is available remotely - through State Services . To do this, one of the spouses must have an electronic signature.

According to Svetlana Bessarab, a member of the State Duma Committee on Labor, Social Policy and Veterans Affairs, a simplified procedure for submitting documents will save young families from hours-long queues.

Previously, in order to help even more families buy housing, the Ministry of Construction developed a bill, according to which it was proposed to increase the maximum age of participants in the Young Family program from 35 to 40 years . However, this initiative has not yet been adopted. Perhaps the authorities will return to this problem and adopt appropriate changes in 2021.

Regional program

The regional program “Young Family” in Irkutsk and the Irkutsk region began to operate simultaneously with the federal project “Housing”. However, even then, local authorities appreciated the social significance of this initiative and therefore, unlike most regions of the country, from the very first days a family support system was developed, which provided for its operation until 2021 .

The general provisions of the program are similar to the federal analogue, but only if other subjects of the federation are constantly extending the validity of similar regulations or adopting new ones, keeping ordinary people in constant suspense, then the authorities of Irkutsk are armed with a strategic multi-year plan.

Funds for the implementation of the program are raised from the following sources :

1. Federal budget.
2. Regional budget.
3. Local municipal budgets.
4. Extrabudgetary sources.

The “Young Family” project in the Irkutsk region assumed the following funding schedule from the regional budget by year:

However, every year funding indicators are revised and change significantly upward. This is due, first of all, to the fact that due to the effectiveness of the program, the number of people wishing to participate in it is growing every year. As of the end of 2013, there were almost 2,100 families , and the funding allocated should be enough to help all of them within the validity period of the issued certificates. And thanks to the conditions that have been created in Irkutsk and the region for those wishing to apply for a subsidy, the region in 2012 took first place in the country in terms of the pace and quality of implementation of this initiative.

What documents are needed to participate?

To participate in the lending program you will need:

1. Passports of both spouses.
2. Marriage certificate.
3. Children's birth certificate.
4. Certificates of earnings of spouses.
5. Photocopies of work records.
6. Extract from the Unified State Register of Real Estate.
7. Confirmation that the family needs improved housing conditions.
8. SNILS.

If any additional documents are required, the bank will request them at the preliminary stage.