A package of proposals on simplification and improvement in the system of mortgage crediting, including social mortgage is expected to be approved within 10 days, Trend reports.
Azad Rahimov, Azerbaijan Youth and Sports Minister, said today that the Presidential draftвЂ"order has already been prepared and submitted to the Presidential Administration.
The proposal envisages the significant simplification in the mortgage crediting system, as well as introduction of privileges.
The Azerbaijan Mortgage Fund considers that the process will become more active by applying social lax mortgage in 2007, and the number of credits to be granted is expected to exceed 1,000.
The results of the first year on applying mortgage crediting show that introducing the lax conditions within the social mortgage will cause massive borrowings.
The social mortgage will cover young families and families of military men of the country. There are a lot of young families who want to improve their housing conditions; therefore the selection criteria will be set. Presenting social mortgage on the basis of corresponding priorities (the number of family members, the income of the family) is one of the proposals. The advantage should be given to young families with less income. The place of residence could be as an advantage as well, since the priority for the country is to develop the regions of the country (its western, bordering parts).
According to the proposals, the term on grating mortgage credits is expected to be extended from the existing 15 years to 30. The maximal amount of the credit could also double from the existing 30,000 AZN. Subsidizing through paying a part of means via the Fund for Ensuring the Credits is expected to take place within the social mortgage as well.