Mishustin announced the extension of a preferential mortgage program until July 2021

The government will extend the program of preferential mortgage at 6.5% until July 1, 2021. This was stated by Prime Minister Mikhail Mishustin at a government meeting on October 22.

"Today, on the agenda of the government meetings, the issue of millions of people. We are extending the preferential mortgage program at a rate of 6.5% until July 1, 2021. It was originally calculated until November 1 and proven itself. Many families used this program. It helped to support the construction industry. The president spoke out of the last week at a meeting with the Government. The bet is until July 1, 2021.

Recall that last week the Ministry of Finance introduced a draft resolution to the government on extension before July 1, 2021 of a preferential mortgage program at 6.5%. According to the department, on October 12, 224.4 thousand loan agreements were concluded in Russia for 630.8 billion rubles under a preferential mortgage program, and by November 1, these indicators will amount to about 268 thousand loans in the amount of 800 billion rubles from 900 billion provided for the launch of the program.

"The extension of the program before July 1, 2021 will allow 354 thousand loans to 1.1 trillion rubles, including 90 thousand loans for 270 billion rubles - in November -December 2020," the Ministry of Finance noted.

On October 12, it became known that the Ministry of Finance developed a draft government decree on the extension of the preferential mortgage program until December 31, 2021. Also, the Ministry of Finance proposed increasing the maximum amount of loans that can issue banks under this program, from the current 900 billion rubles to 2.8 trillion rubles.

On October 14, Russian President Vladimir Putin proposed extending a preferential mortgage program at 6.5% until mid -2021. "Indeed, this measure is popular and in demand, and really supports people. It should not stop its functioning, let's extend it at least until the middle of next year," Putin said at a meeting with government members. As a result, the Ministry of Finance adjusted the initial project.

The Government of the Russian Federation adopted a resolution on a preferential mortgage program at 6.5% at the end of April. The document stated that the program applies to loans issued from April 17 to November 1, 2020, and preferential conditions are valid for the entire loan term. The difference between 6.5%that borrowers will pay, and the state will compensate the market for banks. The maximum amount of mortgage loan for the purchase of housing in Moscow, St. Petersburg, Moscow and Leningrad regions initially amounted to 8 million rubles, and in other regions - 3 million rubles. The initial contribution was at least 20% (then the threshold was reduced to 15%), and only housing in a new building can be bought as part of the program.

At the end of June, the government increased the maximum amounts of mortgage loans under the program from 8 to 12 million rubles for residents of Moscow, St. Petersburg, Moscow and Leningrad regions and from 3 to 6 million rubles for residents of other regions.