In April 2021, the Cabinet of Ministers approved the procedure for providing preferential loans for housing to internally displaced persons using grant funds amounting to 25.5 million euros provided by the German Development Bank KfW.
And already in May, after the release of the document, the acceptance of applications for the intention to obtain a preferential mortgage loan for housing purchase using grant funds began.
In this article we will tell you:
- about the lending conditions;who can obtain a preferential mortgage loan;what documents are needed to submit an application;
- how to submit an application;
- how the first raffle of preferential housing loans for displaced persons was conducted.
KfW (German: Kreditanstalt für Wiederaufbau - Credit Institution for Reconstruction) - German state development bank headquartered in Frankfurt am Main. Founded in 1948, the bank today is the third largest bank in Germany by assets. By order of the German government, the bank finances programs, is one of the leading development banks in the world, in particular, actively cooperates with the Ukrainian side. 80% of KfW shares belong to the federal government of Germany, 20% - to the federal states of Germany.
Government portal reports: "Implementation of the procedure will create an opportunity for internally displaced persons to obtain preferential loans for housing put into operation in the amount of approximately 40 thousand euros for up to 20 years on preferential terms - 3% per annum, based on 63 square meters of total area per family, derived from the normative housing area, which is 21 square meters of total housing area per person and an additional 10.5 square meters per family", - explained in the government.
Within the project in 2021-2022, it is planned to provide housing for approximately 680 families or 1768 persons from among internally displaced persons.
"To obtain a preferential loan at 3%, a separate queue will be formed based on existing registers maintained by the State Fund for Assistance to Youth Housing Construction and its regional offices."
At the same time, it is important that citizens who are in the queue will not be excluded from any register of the State Fund and its regional offices until the actual receipt of a loan for purchasing housing or improving housing conditions on other grounds."
That is, in case of getting into the queue under the agreement with KfW, the person simultaneously retains their place in the queue formed by the State Fund and its regional offices until they receive housing", - said Deputy Minister for Reintegration of Temporarily Occupied Territories Inna Draganchuk.
To ensure fair participation, the selection of winners from among candidates who will be in the queue will be carried out by random selection using a random number generator with software that meets personal data protection legislation requirements.
Winners independently choose objects that can be purchased with loan funds. Loan facilities will be an apartment in a multi-apartment residential building or a single-family residential house, provided that such a multi-apartment or single-family residential building has been put into operation no more than 35 years ago or reconstructed no more than 25 years ago.
