“Affordable flats to young families” Mortgage Loan

Target use  

Credit issued for purchase of real estate on primary or secondary markets.

Requirements to borrowers and co-borrowers

RA citizens and residents with stable income

  Credit sum

A

B

C

11 200 000 AMD

Credit currency

AMD

Credit period

A

B

C

144 months

120 months

Minimum Credit period

120 months

Minimum prepayment

A

B

C

30%

30%

or 10% more collateral

Annual interest rate

A

B

C

9.5%, of which  2%  is subsidized by RA ministry of finances

9.5%, of which  4% is subsidized by RA ministry of finances

Credit interest is computed on the basis of the nominal interest rate. The actual interest rate shows the cost of the credit in case of timely payment of interest and other fees. Please see actual interest rate calculation formula here.

During the validity of the credit contract the Bank does not change the nominal interest rate if the borrower does not break terms of the contract.  Credit interest is computed on the reduced credit reminder.

Commission Fees

1. 30,000 AMD

2. Withdrawing cash – according to active Bank tariffs

Crediting form

Cashless

Repayment order

Monthly - in equal (annuity) installments.

Pre-term repayment

Allowed without penalties

Penalties

Overdue credit

0,2% on the overdue amount for each day of delay.

Overdue interest

0,2% on the overdue amount for each day of delay.

Collateral

Mortgage

Purchased real estate (additional mortgage in case of lower than 30% prepayment, in B, C zones)

Third person guarantee

Is not mandatory, appropriateness decided by the Bank

Attention!
In case the borrower does not make payment of interest and credit in time, the pledged property can be confiscated and the information about the borrower is submitted to the Credit Register.
In case of non-fulfillment of credit liabilities and repayment of credit via collateral, in case of insufficiency of collateral to fulfill credit liabilities, repayment may be made via other property. 

The collateral is being appraised and insured by one of the companies cooperating with the Bank (see the list).

Price range for the collateral services is as follows:

• Property appraisal – from 15 000 AMD
• Property insurance – 0.2% from the appraised value
• Personal insurance – 0.25% of credit sum
• Notarization fees – according to the law
• Property governmental registration fee – according to the Cadastre fees

Credit sum/collateral value ratio

70%

Collateral appraisal

Mandatory, from a licensed independent appraisal company: Done by the borrower.

Insurance

Property

Mandatory

Personal /accidents/

Mandatory

Requirements to collateral

The value of the property purchased must not exceed 16 mln AMD

Requiements to borrowers and co-borrowers

1. The summary age of the spouses must not exceed 60 years, meanwhile the age of a single spouse must not exceed 35.

2. Lone parent, whose age does not exceed 30.

Other conditions that may limit the availability of credit for the customer are absent. Credit processing takes place in the bank.

Positive factors that may contribute to the issuing of the credit are credit worthiness, existence of positive credit history, quality of the collateral, etc.

Negative factors are insufficient income, existence of negative credit history, submitting an incomplete document package, etc.

Region

Residence

A

Yerevan

B

Gyumri, Vanadzor, Abovyan, Jrvezh, Dzoraghbyur, Ejmiatzin

C

Tzaghkadzor, Argavand, Paraqar, Qasakh, Arinj, Tashir, Stepanakert, Hrazdan, Sevan, Armavir, Martuni, Ashtarak, Kapan, Artashat, Ijevan, Dilijan, Stepanavan, Zovuni, Eghvard, Ptghni, Eghegnadzor, Jermuk, Artik, Gavar, Alaverdi

List of the documents necessary for the crediting in order to buy an apartment (mansion)

The buyer presents՝ 

1. Application (set form)

2.Passport

3. Social Card

4. Notification from the place of residence (3^rd form)

5. Notification from the place of employment, with notes on the position, monthly salary, or a statement of income (set form)

6. If the customer owns a business, then the Charter (copy), notification from the gov. Register about changes in the Charter and income statement (set form)

7. Other documents

If the buyer is married

8. Passport of the spouse

9. Marriage certificate

10. Spouse’s consent on getting the credit, purchasing the apartment and mortgaging the latter,

In the case of necessity

11. Third person guarantee (with documents confirming the person of the guarantor and solvency, financial statements etc.)

The seller presents`

12. The passports of all the owners of the property being sold, for minors – birth certificates  

13. Seller’s social card

14. If owners or co-owners exist that are absent from the country, then notarized authorization (for the co-owners), consent (for the persons registered) (original and 1 copy) and notarized translation (original and 1 copy), passport copies (2 copies)

15. Notification from place of residence (3^rd form)

16. Purchased property ownership certificate

17. Ground of origin of the mortgaged property

18. A unified notification about limitations from the governmental register of real estate attached to the RA government (after getting positive decision on credit)

19. Photos of the purchased property

If the owner(s) is (are) married  

20. Passport of the spouse

21. Certificate of marriage  

22. The spouses consent regarding the sale of the property

Maximum period for the decision acceptance on the credit application

After submitting all necessary documents by the credit applicant – 4 working days

Maximum period for notification to the client on the Bank decision

1 working day

Maximum period for credit granting

After the governmental registration of the mortgage – 1 working day