Azeri Mortgage Fund announces issue of 1st loan
The Azerbaijan Mortgage Found (AMF) announced issue of the 1st mortgage loan, which was granted by Bank Standard. Xalq Bank, Turanbank and Texnikabank are currently considering applications and 3 more families will be able to receive mortgage loan soon, Trend reports quoting Faig Mammadov, the chief executive of AMF.
According to Mammadov, the month salary of the recipient comprises $1,000. He noted the agent banks of AMF have received hundreds of applications on mortgage loans. Applications are presented for receiving from $8,000 to $30,000, he added.
The maximal term of mortgage loans is 15 years. The interest rate comprises at most 12%, though some banks offer lower rate for competitiveness. AMF has 130bn manats at its disposal, which was allocated from the public budget for 2005-2006. In accordance with the regulations on the fund, besides budgetary funds, grants and loans can be attracted to the process as well. AMF also has right to carry out emission of securities and use interest rates from loans for further issue of loans.
The state mortgage program, developed by NBA, started on 1 March 2006.