BAKU, Azerbaijan, Aug. 13
By Zeyni Jafarov - Trend:
Azerbaijan has the most favorable conditions for mortgage lending for citizens in the CIS, Trend reports citing the Mortgage and Credit Guarantee Fund of Azerbaijan.
The average cost of housing purchased through mortgage lending is 81,100 manat ($47,705), the average loan amount is 55,900 manat, and the average annual interest rate - 6.3 percent, the fund said.
According to the fund’s report, in Russia, the minimum interest rate on mortgage loans is 6.1 percent, and the average is 7.4 percent. In Kazakhstan, interest rates start at 13 percent.
“Through the Mortgage and Credit Guarantee Fund, from January through July of this year, authorized banks of 3,445 families issued loans worth 230.5 million manat ($135.6 million), of which 76.8 million manat ($45.1 million) fell on concessional mortgage loans,” the fund said.
“From 2006 to date, the total amount of mortgage loans issued by the fund amounted to more than 1.88 billion manat ($1.1 billion), and the number of families who improved their living conditions with the help of these loans exceeded 35,000. According to the distribution of borrowers by jobs, up to 50 percent of them were workers of the private sector,” the report reads.
The Mortgage and Credit Guarantee Fund was created by the decree of the head of state in 2017 through the reorganization and merger of Azerbaijan Mortgage Fund OJSC and Azerbaijan Credit Guarantee Fund OJSC.
(1 USD = 1.7 AZN on Aug. 13)