Affordable Housing for Young Families program to offer better conditions

PanARMENIAN.Net - Armenian Deputy Minister of Sport and Youth Affairs Arsen Karamyan said that the Affordable Housing for Young Families program will offer better conditions within a month.

Specifically, they will refer to age restrictions, initial payment and loan terms, Mr. Karamyan told a press conference in Yerevan.

“The program has faced some problems in practice, and the Armenian government voiced willingness to amend it to make it more flexible and affordable,” he said.

According to the Deputy Minister, the changes will make the mortgage loan more affordable; however, the state cannot imperatively make various suggestions at the real estate and financial markets, as it would be an incorrect step under market economy. “But one should understand that we deal with vulnerable groups of population, and the state should secure some assistance to them,” said Karamyan, adding that this is also a task of demographic security.

Besides, from August-September, programs on social construction will kick off in Syunik and Tavush regions of Armenia under the government’s concept on equal development of the country’s regions. These programs aim to provide young families with the opportunity to purchase dwelling.

“I consider social construction in regions to be of keen importance, as such projects have not been implemented in the regions since Armenia regained independence, except for the 1988 earthquake zone,” the Deputy Minister said.

20 young families received apartments under the Affordable Housing to Young Families program as of today, while 60 applications are currently being considered by banks.

The Affordable Housing for Young Families program was approved by the January 29, 2010, sitting of the RA government. All the families wishing to get a loan should meet certain requirements: family’s gross income should amount to approximately AMD 300-350 thousand, including incomes of all family members. Besides, the “young family” definition means family, where the spouses' cumulative age doesn't exceed 60 and none of the spouses is over 35. The definition also covers families, where the age of the only parent does not exceed 30. The maximum amount of loan under the program totals AMD 16mln with 15-year payment term.