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September 06, 2020 No comments
In 2020, mortgages for young teachers are provided under special conditions that allow them to save money on the purchase of living space.
What is the procedure for obtaining a mortgage loan, what documents are required and features of the procedure.
Special programs
Previously, teachers were reluctant to use their specialty because the salaries of workers in the education sector were low.
Currently, the situation in our country has changed a little for the better. And if the income of teachers has not increased very much, then the state introduces all sorts of benefits, including benefits for the purchase of housing.
Particular changes occurred in the early 2000s, and in 2010 several special programs were introduced aimed at providing teachers with housing.
Subsequently, government agencies stopped issuing subsidies, while retaining the right to preferential conditions when concluding mortgage lending agreements for teachers.
In general, credit institutions are reluctant to provide loans to citizens who belong to the so-called risk group.
Teachers are also included here, since they have low wages and can be laid off in a crisis situation.
As a result, it is more difficult for teachers to get a mortgage, and without the ability to make a down payment, it is almost impossible.
Therefore, teachers can acquire their own housing only within the framework of a special program.
Mortgage benefits for teachers in 2020 include more favorable conditions for obtaining it.
However, this program may be canceled in the future by the Russian government because, in its opinion, teachers’ salaries will soon increase to the required level, due to which teachers will no longer be in the position of socially vulnerable groups of the population.
In fact, the economic crisis that emerged in 2020 has stalled the increase in teacher income, leaving them without significant increases in salaries and subsidies.
A mortgage loan on preferential terms can be expressed as follows:
- Contribution of part of the funds at the expense of the state. budget (up to 30%);
- sale of housing at a reduced price;
- reduction of mortgage interest at the expense of public funds.
The social program was adopted by the government and aimed at implementation by the largest banks of the Russian Federation and the Agency for Mortgage and Housing Lending.
The program operated until the beginning of 2020, then it lost its government support.
Currently, in large banks, including Sberbank of the Russian Federation, teachers have the right to receive preferential loans as employees of government agencies.
Basic requirements for the borrower
To be eligible to receive a mortgage loan on preferential terms, which are prescribed in the Federal Law “On Mortgages”, you must :
- have recognition from government agencies that it is necessary to improve living conditions;
- work in a budget educational institution;
- total work experience in the educational field of at least three years;
- citizenship of the Russian Federation.
- the borrower's age is less than 35 years;
The interest rate for this loan program is regulated by Russian Government Decree 1177 dated December 29, 2011 . The cost of the loan cannot be higher than 8.5% per annum, and the down payment must be 10% or less of the value of the residential property.
If a credit institution provides a higher interest rate on a mortgage, the state undertakes to compensate for the difference. If the bank’s mortgage cost is 12% per annum, and the rate required by law should be 8.5%, then 3.5% is paid from the federal budget monthly, according to the repayment schedule.
You will learn the mechanism for obtaining a mortgage for young teachers from the video material.
Bank requirements
The state provides support to teachers when applying for a mortgage loan for teachers at the regional budget level.
This is done by reducing the interest rate on the mortgage. That is, the budget compensates the difference in interest to the bank.
In addition, the borrower may use a subsidy in the form of a down payment on the loan.
As a result, with the help of this program, both the borrower and the lender remain in the black: the teacher purchases housing at a reduced price, and the bank purchases the borrower and the down payment for housing.
To participate in the program you must meet certain conditions:
| Maximum borrower age | not over 35 years old |
| Official work experience | in a state or municipal institution or institution for more than 1 year |
| Russian citizenship | |
| The need for improved housing conditions | |
| Salary level | sufficient to pay the mortgage |
Mortgages with state support for teachers in 2020 allow socially vulnerable groups of the population to acquire long-awaited housing.
Please note that Sberbank sets an important condition, namely, that no more than 40% of the borrower’s salary should be used to pay for the mortgage loan. To obtain a loan, it is possible to attract co-borrowers, for example, a spouse.
Since the Young Teachers social program has been discontinued, banks can modify the requirements at their discretion.
Primary requirements.
1. Teachers of state educational organizations and municipal educational organizations implementing educational programs of primary general, basic general and secondary general education in the following specialties:
- primary school teacher,
- mathematic teacher,
- teacher of Russian language and literature,
- English teacher,
- biology teacher,
- Physics teacher,
at least 5 years of teaching experience in the Russian Federation (hereinafter referred to as Teachers).
Teachers can become participants in the selection if the following grounds exist in combination:
- having the first or highest qualification category or having an academic degree;
- age up to 45 years (on the day of submitting an application for inclusion in the list of citizens participating in the Subprogram with a full package of documents);
- a citizen and his family members (spouse, children) who do not have residential premises (a share of residential premises) on the right of ownership or residential premises under a social tenancy agreement in the Moscow region;
- having the opportunity to obtain a mortgage housing loan (mortgage loan);
- meeting the professional requirements established in the Selection Procedures of the Regulations on organizing the selection of citizens to participate in stage II of subprogram 4 “Social mortgage” of the state program of the Moscow region “Housing” for 2017-2027;
- who have entered into an agreement to carry out labor activities in an educational organization in the Moscow region, in which the participants of the Subprogram carry out their labor activities, for a period of at least 10 years.
2. Young teachers of state educational organizations and municipal educational organizations implementing educational programs of primary general, basic general and secondary general education of all specialties, having teaching experience in the Moscow region for at least 3 years (hereinafter referred to as Young Teachers).
Young teachers can become participants in the selection of citizens if the following grounds exist in combination:
- having the first or highest qualification category or having an academic degree;
- age up to 35 years (on the day of submitting an application for inclusion in the list of citizens participating in the Subprogram with a full package of documents);
- a citizen and his family members (spouse, children) who do not have residential premises (a share of residential premises) on the right of ownership or residential premises under a social tenancy agreement in the Moscow region;
- having the opportunity to obtain a mortgage housing loan (mortgage loan);
- meeting the professional requirements established in the Selection Procedures of the Regulations on organizing the selection of citizens to participate in stage II of subprogram 4 “Social mortgage” of the state program of the Moscow region “Housing” for 2017-2027;
- who have entered into an agreement to carry out labor activities in an educational organization in the Moscow region, in which the participants of the Subprogram carry out their labor activities, for a period of at least 10 years.
3. Educators of state educational organizations and municipal educational organizations implementing educational programs for preschool education, having teaching experience in the territory of the Russian Federation of at least 5 years, including in the Moscow region - at least 3 years (hereinafter referred to as Educators).
Educators can become participants in the selection if the following grounds exist in total:
- having the first or highest qualification category or having an academic degree;
- age up to 45 years (on the day of submitting an application for inclusion in the list of citizens participating in the Subprogram with a full package of documents);
- a citizen and his family members (spouse, children) who do not have residential premises (a share of residential premises) on the right of ownership or residential premises under a social tenancy agreement in the Moscow region;
- having the opportunity to obtain a mortgage housing loan (mortgage loan);
- meeting the professional requirements established in the Selection Procedures of the Regulations on organizing the selection of citizens to participate in stage II of subprogram 4 “Social mortgage” of the state program of the Moscow region “Housing” for 2017-2027;
- who have entered into an agreement to carry out labor activities in an educational organization in the Moscow region, in which the participants of the Subprogram carry out their labor activities, for a period of at least 10 years.
Advantages of a mortgage for teachers
There are several advantages of a mortgage for teachers::
| Reduced interest rate | which allows you to purchase an apartment at a reduced cost |
| Small down payment | the contribution of which is permissible from a state subsidy |
| Long mortgage term | up to 30 years old |
| Possibility of canceling the insurance contract | as well as early repayment of a mortgage loan without commission when half of it is paid |
Mortgage for teachers
The difference between the program and a mortgage on standard terms :
| The annual interest on the loan is at the level of 8% in case of purchasing secondary housing | the tariff increases if you purchase housing in a house under construction or if you build it yourself |
| The down payment amount is usually 15% | the required amount can be taken as a subsidy |
| Contract term | up to 30 years old |
For young professionals
Young specialists are considered to be teachers who have worked in the specified position for more than 3 years, but have not reached 30 years.
Teachers who are committed to development in their profession and do not intend to leave their position can participate in the program.
The objective of the program is to attract young professionals to work as civil servants in the field of education.
The main advantage of the program is the reduced interest rate, as well as favorable mortgage payment terms.
State The grant can be used as a down payment or to pay regular mortgage payments.
To participate in the program and receive a loan with benefits, you must get in line and receive a certificate and approval for the purchase of housing.
Preferential
Mortgage loan benefits for teachers have been introduced in certain regions of the Russian Federation. A preferential mortgage allows you to acquire an apartment on favorable terms.
In particular, Sberbank offers teachers to enter into a mortgage agreement under the following conditions:
| Interest per annum | 9.4%, regardless of the type of property purchased |
| Mortgage loan is provided for a period of up to 30 years | shortest period – 1 year |
| The minimum mortgage size is 300 thousand rubles | The largest size depends on the subject of the Russian Federation |
| Loan currency | exclusively in rubles |
| Issue fee | not taken |
| Down payment amount | From 15%, which will need to be paid from your own funds |
| The borrower must receive a report from the appraisal organization | as well as notary services |
| Insurance contract is required | Other types of insurance are not required |
| It is possible to increase the interest rate to 10.4% | In case of violation of the provisions of the contract or refusal of insurance |
Changes to the mortgage lending agreement are made by agreement of the parties.
For documents for a mortgage with maternity capital in 2020, see the article: mortgage with maternity capital.
It is recommended to clarify information about the loan before going to a bank branch.
Social mortgage
Many banks have special programs for certain groups of citizens.
Social mortgage applies to employees of state educational institutions.
Registration of a mortgage under such programs is possible only in a bank that is a partner of the Agency for Housing and Mortgage Lending.
The down payment for such programs can be made from maternity capital funds.
Social mortgage for teachers
Obtaining a mortgage for teachers is also allowed under the Housing for Russian Family (ZhRS) program, thanks to which housing is purchased specifically as economy-class facilities.
The total family income of the program participant must be sufficient to pay mortgage payments. The use of maternity capital funds is allowed.
Iron ore real estate is sold at the price of 1 sq. m not more than 80% of the average market price of analogues in the corresponding territory, but not more than 35,000 rubles.
This option is only available in some regions. Local authorities independently determine the criteria for selecting participants. The operators are regional partners of AHML. Lists of program participants are formed by local governments on whose territory the target housing is built.
The program operates, for example, in:
- Voronezh region;
- Kemerovo region;
- Novgorod region.
Peculiarities
To obtain a mortgage loan, young teachers need to take into account some of the nuances of this procedure:
| Down payment more than 15% of the property value | When depositing more than 40%, the borrower gets rid of the need for an insurance contract. If the mortgage is issued for a long period, the debtor will receive tangible financial benefits. Therefore, it is beneficial for teachers to pay the initial fee in order to save money. |
| Use of maternity capital or state funds. subsidies as a down payment | In this case, the subsidy amount is assigned personally. It will depend on the housing area per family member and other conditions |
| The loan is repaid by the borrower before retirement | The age limit for young teachers is set at 35 years, and the contract period is up to 30 years |
| Applying for a loan under the program is possible only at a bank that is in partnership with AHML | Information about the bank’s cooperation with the agency should be clarified before submitting an application. |
| Teachers who used this program do not lose their rights to other subsidies | borrowers participate in other programs, including programs for the purchase of housing. For example, after the birth of the 3rd child, teachers are entitled to a plot of land and financial contributions from the state |
| Participation in a social program does not relieve liability for breach of contract | housing can be sold at auction if there are no payments on the mortgage loan |
| Teachers with a bad credit history may be denied a loan | Bank employees conduct a thorough check of the borrower's data |
| Before applying for a mortgage, you need to obtain a housing certificate from regional authorities | After this, you need to find out whether this subsidy can be used this year. If there are no budgetary allocations, you will have to wait until next year |
| Requirements for follow-up | after obtaining a mortgage, the teacher must work in the field of education for more than five years |
Bank conditions and requirements for the borrower
Taking into account the subsidies provided to teachers for the purchase of housing, banks are reducing interest rates and providing mortgages on more favorable terms. In particular:
- loan term – up to 30 years;
- down payment amount – 10%-30% of the value of the property (depending on the requirements of a particular bank);
- interest rate - no more than 8.5% of housing on the secondary market and no more than 10.5% when purchasing an apartment in a new building or an individual residential building;
- the ability to refuse loan insurance.
As for the borrowers themselves, in addition to the general requirements, some banks set their own compliance criteria. For example, frequent job changes or being under 21 years of age may not appeal to a lender. In addition, credit history is also taken into account. If there are arrears on previous loans, the bank may refuse a young teacher to receive a loan, even though he is entitled to a subsidy for the purchase of housing.
The solvency of the future debtor is also important, since he must repay part of the debt at his own expense. The cost of paying off the loan should not exceed 45% of his salary.
Banks often check the solvency of co-borrowers, whose low incomes may create problems when drawing up an agreement.
How to take part in a deal
Initially, you must obtain a certificate from the city administration. To do this, you will need to write an application, attaching a copy of your work record book and education diploma.
It takes 2 to 4 weeks to issue the certificate. After receiving the document, you need to contact AHML and familiarize yourself with the list of banks that issue mortgages under the social program.
Then you can submit an application and wait for approval. The remaining steps do not differ from standard mortgage registration.
Registration procedure
Approval for the conclusion of a mortgage loan agreement is carried out by AHML.
The sequence of actions will be as follows:
| Submitting an application | on the agency’s official website, you will need to fill out a detailed form |
| Next you need to select a suitable bank | in which a loan will be taken for the required amount |
| Collection of required documents | submitting an application at your chosen bank, attaching the necessary documents |
| Search for accommodation | reaching an agreement with the seller |
| Collection of documents for the purchase of real estate | Determining the date of the transaction with the lender and the seller. There will be two of them: one for purchase and sale, the second for registration of a mortgage |
| Direct transaction | Signing a mortgage loan agreement and a purchase and sale agreement with the seller |
If you use a subsidy to pay the down payment, you will additionally need to write an application.
What documents are needed
The following documents must be provided to the bank:
| Passport of a citizen of the Russian Federation | which confirms the identity of the borrower |
| Certificate | indicating participation in a social program |
| Income document | over the past six months |
| Copying from work book | As well as another document (for example, SNILS) |
After this, you and the seller will need to collect documents for the property that are needed for the purchase and sale transaction.
A detailed list should be clarified with the bank.
For writing off a mortgage debt at the birth of a child, see the article: writing off a mortgage at the birth of a child.
Mortgages for young teachers are a special program that aims to provide housing for employees of municipal and state institutions.
Video: Mortgage for young teachers
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