As you know, the housing issue is one of the most pressing not only in Russia, but also in other countries. Military personnel in this matter are not at all an exception. Many families of soldiers and officers have been forced to poke around rented apartments for decades without any hope of their own housing.
To remedy this situation, the Russian government has developed a special program. It is called "Military Mortgage." What is new invented by experts? And how will the new program help military personnel get their own housing? Read about it below.
What it is?
A law making life easier for the military was passed back in 2004. According to the idea of the government of the Russian Federation, this document is intended to provide military personnel with comfortable housing on favorable terms. This is facilitated by a funded mortgage system (NIS) program .
So, military mortgage - what is it and how to get it? Let's get it right. The essence of the program is that any CSKA can write a report and start saving up for his own apartment. 3 years after the filing of such an application, you can apply for a mortgage on preferential terms. A feature of such lending is that the debt is paid not from the military’s own funds, but by the executive authorities. In particular, the Ministry of Defense. There is a whole unit that deals with issues such as mortgages for military personnel. It is on his behalf that money is transferred to a special savings account of a contractor.
Who will be given a military mortgage?
If you are a contractor in the Russian army and you do not have your own housing, a military mortgage will help you.
What is a "miracle" laid for you, you can find out by the following indicators:
- You are an officer, and your contract was signed no earlier than 01.01.2005;
- your service life was less than 3 years, but you became an officer after 01/01/08;
- midshipman, as well as warrant officer, and your contract is executed after January 2005, while you served more than 3 years;
- soldier, sailor, sergeant or foreman (the conditions are the same);
- a graduate of a military academy (other educational institution) who received a diploma after 01.01.05 and signed a contract;
- you are a soldier called up from stock.
No other factors, including the presence or absence of spouses, children or registration, do not affect the possibility of obtaining a military mortgage. The only condition is that the applicant for housing for military personnel must be a member of the NIS (funded mortgage system) for at least 3 years.
2016 Terms
Since 2016, some changes have come about in the housing issue for the military. The Russian Ministry of Defense decided to abandon the practice of issuing housing in kind, that is, simply in the form of a house or apartment. To take advantage of the housing subsidy that existed up to this point, only those army men who signed a contract before 2005 will be able to. For them, all the housing built by the Minobrona by this time is intended.
All other servicemen can get an apartment or house on a military mortgage. At the same time, the state decided to dictate its lending conditions. This means that the conditions for registration in any bank participating in the system will be almost identical. For 2016, these conditions are as follows:
- Mortgages for military personnel are issued for a maximum of 25 years. At the same time, at the end of this period, the borrower should be no more than 45. So if you are already over 40 at the time of registration, you should not expect to extend the loan for more than 5 years.
- The first installment is at least 10% of the cost of the premises purchased by the army man.
- The loan rate is 12.5% (on average).
- The maximum possible amount for housing for military personnel is 2 million 400 thousand Russian rubles.
- It also remains possible to pay off part of the debt through maternity capital and obtain additional consumer credit on preferential terms.
- For a loan to be approved, an army soldier must have a continuous experience of at least 12 months, 4 of which are at the last place of work.
"Voenka" step by step
If you decide to take part in the “military mortgage” program, you will have to arrange the loan in stages. Therefore, let us carefully consider all the "circles of credit hell" of the Russian military.
- Registration of the certificate of NIS. To do this, you need to submit an appropriate report, which passes approval for 2-3 months. After that, the army will be issued a document that is valid for 6 months.
- The choice of housing. There are no restrictions, an apartment or a house can be chosen in any region of the country. But if you decide to use the help of a realtor, you will have to pay for his services from your own pocket.
- Determining the place of lending (bank) and signing the contract. Under such a program, more than 20 banking institutions across the country work, so you should first find out the conditions.
- Execution of an agreement with the Ministry of Defense. Its employees will study all the documents and put their signatures within ten days. After that, the money will be transferred to a bank account.
- The signing of documents on the sale of housing.
- Registration of documents. It usually takes about 7 days.
- And only after all this, targeted funds are transferred to repay the mortgage.
Differences between Army Mortgages and "Citizens"
To make it clearer how the army mortgage for a new building or the "old" fund differs from ordinary housing loans, let's make a small table.
| Military mortgage | Ordinary Housing Lending |
| Only military members of the NIS can receive it. | Anyone can arrange it. |
| The debt is repaid by the Ministry of Defense of the Russian Federation. He has pledged housing. | The apartment is pledged to the bank. |
| The maximum amount is 2.4 million. If this is not enough, you can add from personal funds. | The amount is limited by the solvency of the borrower and his age. How much to give - the bank decides. |
| The seller of the housing transfers the original documents to the bank a few weeks before the contract is completed. | Documents are transferred to the bank only after the conclusion of the contract and only for making a copy. |
| The waiting period is increased due to a possible delay in the transfer of funds from the Ministry of Defense. | A mortgage is issued much faster. |
| Registration of documents confirming the sale of the object takes a week. | The contract can be registered for about a month. |
| First, a loan is issued, and then a purchase and sale agreement (then it is transferred to the Ministry of Defense for approval). | All documents are signed at the same time. |
Do you doubt whether you need a military mortgage? What is and how to arrange, we have already figured out. Now let's discuss all the advantages and disadvantages of this type of lending.
pros
Compared to “civilian” housing loans, the interest rate is much lower.
- Funds for the down payment are already there.
- Housing can be chosen in any region, and not just where the service takes place.
- You can take part in the NIS regardless of the availability of housing in the property.
- You can buy both a new building and a secondary sector.
Minuses
Nevertheless, such a program also has drawbacks. True, they are not so significant.
- Long transaction process. Registration may take more than 2 months.
- To complete the finishing work (if housing is purchased in a new building) will have to take an additional consumer loan.
- Housing is registered directly in the army, and not members of his family.
- The program conditions are valid only if the service is continued. Upon dismissal, the borrower is required to repay the loan from his own funds. The exception is only going to the reserve for health reasons.