State program for displaced people from Artsakh

Under the “State support program for providing access to affordable housing for families displaced from certain regions of the Republic of Artsakh”, the Company is offering acqusition and single-family house construction loans.

State program for displaced people from Artsakh

State program for displaced people from Artsakh

Under the "State support program for providing access to affordable housing for families displaced from certain regions of the Republic of Artsakh", the loan conditions are as follows:

Beneficiaries

Persons defined under Article 4 of Government Decision No. 169-L, dated February 17, 2022.

Loan amount

  • Maximum AMD 35 million in case of standard loans,
  • Maximum AMD 45 million in case of energy efficiency loans․

Loan term

Minimum of 10 years

OTI*

Maximum of 45%

Annual interest rate

Defined by PFIs․ On average, it is 10.00%

Interest rate type

Fixed

Loan currency

AMD

Repayment type

  • Annuity, or
  • Equal payment of loan principal amount.

Insurance

  • Pledged property insurance, whose coverage must be at least equal to the loan amount exceeding the State support amount***.
  • Insurance that will pay the mortgage loan if the borrower dies from a casualty. The coverage must be at least equal to the loan amount exceeding the State support amount***.

State support amount for principal payments**

The amount of State support for principal payments of the mortgage loan is as follows**:

  • In Yerevan, the maximum support amount is AMD 8 million for the entire loan period, with a monthly support limit of AMD 113 thousand.
  • In the regions of Armenia, the maximum support amount is AMD 10 million for the entire loan period, with a monthly support limit of AMD 153 thousand.
  • In the settlements included in the list of selected rural settlements of RA (appendix 2), the maximum support amount is AMD 12 million for the entire loan period, with a monthly support limit of AMD 200 thousand.
  • In border settlements of Armenia, the maximum support amount for purchasing an apartment or single-family house is AMD 14 million for the entire loan period, with a monthly support limit of AMD 242 thousand.
  • In border settlements of Armenia, for the construction of a single-family house or for purchasing an apartment from the primary market in Syunik and Vayots Dzor regions, the maximum loan amount is AMD 16 million for the entire loan period, with a monthly payment limit of AMD 277 thousand.

State support amount for interest payments**

The State offers support for interest payments on mortgage loans based on the following criteria**:

  • In Yerevan, the interest rate subsidy can be up to 8%, with a maximum monetary support of AMD 3.648 million over the entire loan period and a monthly payment limit of AMD 63 thousand.
  • In the regions of Armenia, the interest rate subsidy can be up to 10%, with a maximum monetary support of AMD 5.850 million over the entire loan period and a monthly payment limit of AMD 98 thousand.
  • In the settlements included in the list of selected rural settlements of RA (appendix 2) , the interest rate subsidy can be up to 12%, with a maximum monetary support of AMD 8.660 million over the entire loan period and a monthly payment limit of AMD 140 thousand.
  • In border settlements of Armenia, the interest rate subsidy can be up to 13% for purchasing an apartment or single-family house, with a maximum monetary support of AMD 11․085 million over the entire loan period and a monthly payment limit of AMD 177 thousand.
  • In border settlements of Armenia, the interest rate subsidy can be up to 13% for constructing a single-family house or purchasing an apartment from the primary market in Syunik and Vayots Dzor regions, with a maximum monetary support of AMD 12․668 million over the entire loan period and a monthly payment limit of AMD 207 thousand.

Down payment

  • In Yerevan, minimum 10%
  • In RA regions, minimum 2.5%
  • In RA border settlements, minimum 1%****

Collateral

  • In case of purchase of a house, property to be purchased,
  • In case of single family house construction, land or the building under construction.

*OTI calculation includes monthly payments of all the loans that a borrower has, including the mortgage loan.

**The Company does not pay and under any circumstances has no obligation to pay either interest rate or principal support amount to beneficiaries from its own resources. It is the obligation of the State to do so.

*** If the loan amount does not exceed the State support amount, no insurance is required.

****Down payment is set at 1% also in cases where the beneficiary has at least 4 minor children or all family members included in the certificate are over 65 years old.