The Russian Ministry of Finance changes the terms of the family mortgage from October 1: the rate will depend on the number of children

For all regions except Moscow and St. Petersburg, the rate will range from 10% per year with a maximum loan amount of 6 million rubles for families with one child to 2% per year and 10 million rubles for families with five or more children. In Moscow, the Moscow region, St. Petersburg, and the Leningrad region, the terms will be different: from 12% per year with a maximum amount of 12 million rubles for a family with one child to 4% per year and 18 million rubles for families with five or more children.

The program under these terms will apply to families where at least one child has not reached the age of seven at the time the contract is signed. For the construction of a private house, its completion, and the purchase of land with subsequent construction, the rate will remain 6% regardless of the number of children and the region of residence.

The Ministry of Finance said the changes would make the “Family Mortgage” more targeted and demographically oriented. Previously, the program provided for a single rate of 6%: up to 12 million rubles in Moscow, the Moscow region, St. Petersburg, and the Leningrad region, and up to 6 million rubles in other regions.

To take out a mortgage, a 20% down payment was required. The “Family Mortgage” program was launched in Russia in 2018.

Sources

• Material: meduza.io