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Putin supports idea of launching preferential mortgage program

The president drew attention to the fact that the reduced preferential rate will be valid for the entire loan term

Russian President Vladimir Putin Alexei Druzhinin/Russian presidential press service/TASS

Russian President Vladimir Putin

© Alexei Druzhinin/Russian presidential press service/TASS

NOVO-OGARYOVO, April 16. /TASS/. Russian President Vladimir Putin has supported the idea of launching a preferential mortgage program.

"As it has already been said here, I propose launching a special preferential mortgage program, supporting both our citizens and the construction industry," Putin said at a meeting on supporting the construction industry.

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He stressed that such a program should be launched in the near future. "Under that program, it will be possible to take a mortgage at a rate of 6.5% per annum for the purchase of new comfort class housing at a price of up to 3 mln rubles ($40,407) in the regions and up to 8 mln rubles ($107,752) in Moscow and St. Petersburg," the head of state said. He stressed that "everything above this level will be subsidized by the state."

The president drew attention to the fact that the reduced preferential rate will be valid for the entire loan term. "They will be able to apply for such a mortgage by November 1 of this year," he said.

The Russian leader instructed the government to ensure the launch of this program as soon as possible. "According to preliminary estimates, about 6 billion rubles ($80.8 mln) will be needed to implement this program in 2020," Putin said. He added that the exact amount is still being discussed.

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