The right of withdrawal does not protect against risky guarantees

BGH

According to the judges in Karlsruhe, there is no longer a right of withdrawal for guarantees.

(Photo: dpa)

Karlsruhe The consumer-friendly right of withdrawal, which applies, for example, when shopping on the Internet or visiting a representative, does not protect against entering into a risky guarantee.

That was decided by the highest civil judges of the Federal Court of Justice (BGH) in Karlsruhe. The German law, which was adapted to an EU directive in 2014, deliberately excludes this possibility, according to the recently published judgment from September. (Az. XI ZR 219/19)

The new rules stipulate that consumers can cancel “off-premises contracts” and so-called distance contracts for 14 days without a specific reason.

This cooling off period should protect against surprise and ill-considered purchases or contracts. The right of withdrawal allows, for example, goods purchased online to be returned for two weeks.

The 14-day period only begins when the consumer has also been informed of his right of withdrawal. Otherwise the return of the goods is still possible later.

Guarantor takes great financial risk

A guarantor offers his own assets as collateral so that one bank gives another loan that it would otherwise not grant. This is associated with a great financial risk: If the other person cannot repay the money, the bank will get it from the guarantor. The guarantee only ends when the loan has been repaid.

In this case, the managing sole shareholder of a company had guaranteed up to 170,000 euros for his own company at the end of 2015. When the bank slid into bankruptcy a little later, the bank canceled the loan and demanded the money.

In September 2016, the man revoked the guarantee that he had not signed at the bank but in his own company. That is still possible because he was not instructed about his right of withdrawal.

According to the BGH, there is no longer such a right of revocation for guarantees. The prerequisite is always that the entrepreneur provides a paid service.

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Preferential mortgage will be extended for a year – Finance – Kommersant

The Russian government is going to extend the concessional mortgage program at 6.5% until the end of 2021. At the same time, it is proposed to expand its volume by more than three times, up to 2.8 trillion rubles. Bankers and developers are supporting the extension of the program, which has become an anticipated anti-crisis measure. In particular, developers have significantly increased their home sales revenue. Given the increased issuance of mortgage loans, the Central Bank is monitoring the risks of such portfolios. Bankers do not expect a mortgage bubble and expect growth potential to remain until the end of 2021.

On Monday, October 12, the Ministry of Finance published a draft resolution with changes to the current state program of preferential mortgages at 6.5% per annum. The program, operating from April 17, was supposed to end on November 1. The department proposes to extend the preferential mortgage program until December 31, 2021, and the limit within which banks can issue loans to expand from the current 900 billion to 2.8 trillion rubles.

As follows from the explanatory note, within ten days after the entry into force of the resolution, banks intending to participate in the program must submit to the operator of the program – JSC Dom.RF – “applications for establishing new or additional credit limits”. Dom.RF will have to make a decision on them within 20 days. The operator reimburses creditors for lost income, compensation is the difference between the size of the key rate of the Central Bank as of the beginning of the month for which the reimbursement is made, increased by 3 percentage points, and the interest rate under the loan agreement on a preferential mortgage.

Currently, 64 banks participate in the preferential program. According to Dom.RF, as of October 8, 224,400 loan agreements for 630.7 billion rubles were signed under the program. By this time, 216.7 thousand concessional loans have been issued in the amount of 607.5 billion rubles. In total, the Russians sent about 744.6 thousand applications for preferential mortgages. Earlier, the banks indicated to Kommersant that the borrower simultaneously sends several applications to the banks at once. Under the program, you can take a mortgage loan up to 12 million rubles. in Moscow, St. Petersburg, Moscow and Leningrad regions and up to 6 million rubles. in other regions. The minimum down payment is set at 15% of the cost of housing.

Marat Khusnullin, Deputy Prime Minister in charge of the construction industry in the government, has repeatedly stated that the preferential mortgage may be extended after November 1. So, at the end of September, he described this program as “very successful, which allowed many citizens to buy housing and attract 500 billion rubles to the industry.”

According to Dom.RF, at the moment, taking into account the initial contribution to the construction industry, more than 715 billion rubles have already been attracted. funds of banks and citizens. According to the head of the analytical center “Dom.RF” Mikhail Goldberg, the program provided the construction of more than 11 million square meters. m of housing.

«The extension of the program in 2021 will be able to ensure the issuance of more than 877 thousand loans, support the demand for housing under construction and help developers create a reserve for increasing construction volumes, ”says Mikhail Goldberg.

Since April, the demand for new housing in Russia began to decline noticeably due to the crisis. According to Rosreestr, in April-May, the number of transactions decreased by more than half compared to the same period in 2019. In general, for the first half of 2020, the number of transactions under equity participation agreements (DAC) decreased by 37% compared to the same period in 2019. Since June, demand for real estate began to recover due to the gradual lifting of quarantine restrictions, as well as measures of state support for the construction industry, including the introduction of a preferential mortgage program at a rate of 6.5%.

In the first summer month of 2020, the aggregate value of transactions in the primary market jumped 42% compared to the previous month. In July and August, the rise continued, amounting to 15% and 21%, respectively, according to the agency “National Credit Ratings” (NKR). According to the calculations of this company, losses in sales of new buildings due to COVID-19 from April to August 2020 amounted to about 0.9 trillion rubles. in comparison with the same period in 2019, and without the preferential mortgage program, losses would have exceeded 1.7 trillion rubles.

Therefore, the main participants in the program – banks and developers – are actively advocating for its extension. As pointed out by “Kommersant” in Sberbank, this “will allow to support both the consumer, who will be able to solve critical problems with housing, and the construction sector, and numerous contractors in the construction sector, and in the medium term, manufacturers of goods for repairs, furniture and other related goods,” with fairly moderate budget spending. Preferential mortgages are an anti-crisis measure, there is no other such program to reduce interest rates, and there is still potential for growth in the housing market until the end of 2021, the chairman of the board said. Absolut Bank Tatiana Ushkova. At the same time, according to her, one should hardly expect new participants after the expansion of the program, since for many banks such loans are low-margin. “Demand from the population will remain high until about mid-2021, then it may decrease slightly, since most borrowers with effective demand will use the program by that time,” says the head of the mortgage product development center PSB Marina Zabotina.

As noted in the NKR, after the launch of the preferential mortgage, the average transaction prices increased by 8% (from late May to late August). The most pronounced rise in prices was in July-August, which coincides in time and with a sharp increase in the volume of preferential mortgages – by 60% in August compared to July, to 432 billion rubles. NKR experts believe that the increase in prices was also influenced by the decision of some developers to limit the supply of housing.

The preferential mortgage program naturally led to an increase in the revenue of developers in Moscow and the Moscow region, which are considered one of the most capital-intensive primary real estate markets in the country.

In September 2020 alone, the PIK Group earned 26.2 billion rubles from the sale of housing, MR Group – 9.5 billion rubles, Don-Stroy Invest – 9 billion rubles, Ingrad – 8.7 billion rubles. , and “Samolet” – almost 6 billion rubles, according to the CEO of the analytical company Dataflat.Ru Alexander Pypin.

Currently, about half of the volume of loans in recent months accounted for just preferential mortgages. “We are closely monitoring so that the number of, shall we say, risky mortgage loans does not grow. Everyone remembers well the history of 2008, the USA, subprime and so on, ”said the head of the Central Bank Elvira Nabiullina in mid-September. As Tatyana Ushkova notes, the range of mortgage banks is narrow – only 10–12 credit institutions work professionally in this segment. They have no goals to issue more loans, all risk models of banks have been adjusted taking into account previous crises, she said. “Therefore, I do not see the risk of creating a mortgage bubble,” sums up Ms. Ushkova.

Olga Sherunkova, Khalil Aminov

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Central Bank warned of risks of overheating in the mortgage market

https://realty.ria.ru/20201008/ipoteka-1578746406.html

Central Bank warned of risks of overheating in the mortgage market

The Bank of Russia is not yet afraid of a “bubble” in the mortgage market, but in the event of the extension of the preferential lending program at 6.5% and the next crisis … Real estate RIA Novosti, 08.10.

2020-10-08T06:07

2020-10-08T06:07

2020-10-08T10:56

preferential mortgage

Russia

mortgage

Central Bank of the Russian Federation (Central Bank of the Russian Federation)

economy

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MOSCOW, October 8 – RIA Novosti. The Bank of Russia is not yet afraid of a bubble in the mortgage market, but in the event of the extension of the preferential lending program at 6.5% and the next crisis, risks of overheating may appear, said in an interview with RIA Novosti director of the Banking Supervision Department of the Central Bank Alexander Danilov. In the summer, Deputy Finance Minister Alexey Moiseev expressed concern that a” bubble “could form in the mortgage market due to government subsidies. Currently, the most popular subsidy program is a preferential mortgage at 6.5% for housing in new buildings. It was launched in April and is due to end on November 1st. There is no official decision on its extension yet. He recalled that under this program there are requirements for an initial payment of at least 15%, and the rate is subsidized for the entire term of the loan. “After the end of the program, demand may fall, and prices will follow. If at this moment another crisis occurs, when people’s incomes fall, then credit risks for banks may significantly increase, “added the head of the Central Bank department.

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https://realty.ria.ru/20201006/ipoteka-1578468379.html

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This reduces all costs

Euro coin

If consumer loans are repaid early in the future, all costs are reduced, including those that are incurred regardless of the term.

(Photo: dpa)

Berlin A ruling by the European Court of Justice (ECJ) on September 11, 2019 also has consequences for German consumers. If consumer loans are repaid early in the future, all costs are reduced, including those that are incurred regardless of the term. Charges for one-off services, for example, apply as costs that are independent of the term.

The Federal Ministry of Justice and Consumer Protection is currently preparing a corresponding change to the German Civil Code (BGB), a spokesman confirmed. The project still has to be approved by parliament. No information was given on the possible volume of financial relief. German credit institutions tend to be reluctant to offer term-independent fees, it said.

The right to early repayment of a consumer loan is regulated in the BGB. According to this, consumers can fulfill their obligations from a consumer loan contract in whole or in part at any time.

For real estate consumer loan contracts for which a tied borrowing rate has been agreed, however, this only applies if the borrower has a legitimate interest in early repayment. This can be the case, for example, when moving house, illness, unemployment or divorce.

Consumer advocates advocate limiting the prepayment penalties for real estate loans, which are often excessive in their view, as part of the change in the law. While there is an upper limit for compensation of one percent of the remaining debt for normal loans, there is no comparable limit for real estate loans.

Often excessive early repayment penalty

“Anyone who has to terminate a real estate loan contract prematurely for legitimate reasons must not be harmed with excessive, unjustified prepayment penalties, which have the character of a contractual penalty,” demands Niels Nauhauser from the consumer advice center Baden-Württemberg.

Research by the consumer advice center has shown that in 42 cases examined, credit institutions charged an average prepayment penalty of more than EUR 13,200. Without the exception, it would only have been 1265 euros.

The prepayment penalty for real estate loans has been the subject of controversial discussion in recent years. Formally, the Federal Ministry of Justice sees no reason to change the status quo, because the residential real estate loan guidelines that apply to real estate loans do not contain any corresponding requirements. “Under European law, this is therefore not mandatory for real estate loans,” said a spokesman.

The ministry admits, however, that the question of introducing an upper limit for early repayment penalties for real estate consumer loan contracts was controversially discussed in the working group set up by the Federal Ministry of Finance and Justice. A recommendation to introduce an upper limit was not made two years ago.

Among other things, experts feared that this would make the fixed-rate loans widespread in Germany more expensive. “This cannot be desired at the moment, especially with a view to the economic situation,” said the spokesman.

More: The corona crisis is turning the installment loan business from a profit maker to a risk of loss.

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Florida Eviction Moratorium: A Pressure Cooker

Since April, Florida courts have been in a shower of filings for foreclosures, evictions and bankruptcies, all halted by an executive order from President Donald Trump and backed by Governor Ron DeSantis that has kept it in effect for monthly extensions until the 1st. October.

As of June, almost 203,000 eviction requests were registered in the courts, both in the residential and commercial areas, whose future projections are around a 59% increase.

According to an official Court report, almost 18,000 cases were presented in June above the average figure in normal times.

In Miami-Dade, in just two months as a reference March and July almost 4,000 eviction petitions were counted, also stopped by the state order.

At the end of April, during an interview with DIARIO LAS AMÉRICAS, the lawyer Pelayo Durán warned about the number of bankruptcy petitions that the economic recession would cause due to the coronavirus pandemic, and offered alarming figures on the great recession (2007-2009).

In 2007 in Florida, there were 500,000 bankruptcies and in 2010 the number was more than double: 1,139,000. It is expected that later this year and early 2021, those numbers will be much higher.

While the DeSantis moratorium has helped millions of families in Florida As the storm of the pandemic wears off under one roof, millions of other residential and commercial property owners wonder how they will pay off their bank debt and taxes, especially on newly constructed properties.

Despite federal aid and private financial entities that extended payment terms to many of the investors and owners, the situation will turn chaotic when the effect of the economic recession reaches its peak.

Not a few analysts consider that the bans on evictions and foreclosures played a fundamental role in the midst of the health crisis, but they closed a simmering pot that at some point must release all the accumulated pressure. It will be necessary to see then, what formulas and emergency measures the state government undertakes to avoid the predicted chaos, to which will be added the horrifying number of bankruptcies.

lmorales@diariolasamericas.com

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Montaña Central Leonesa refuses to “mortgage the mountains” to build wind farms

The Platform for the Future of the Central Mountain of Leonesa holds a meeting with entities opposed to the projects of wind farms for the Mountain of León. In the image, the president of the platform, Esther Domínguez. / Campillo / ICAL

Miriam Badiola / ICAL
| 09/27/2020 – 1:05 p.m.

The Platform for the Future of the Central Mountain of Leonesa showed once again this Sunday its rejection of the wind farm projects for that area, considering that “they do not want to mortgage the mountains or replace their economic use by a monopoly of multinationals who want exploit a single resource and make the area exclusively dependent on a single company or a single resource “, according to one of its representatives, Sergio Díez.

This was pointed out by the representative of the Platform for the Future of the Central Mountain of Leonesa during the celebration in Pedrún de Torío of a meeting of 25 groups and entities of the province, from different areas, both social, educational, sports and ecological that have decided to join together to “be able to work together against the installation of wind projects in the Leonese mountain” and that in today’s meeting they decided to “set a roadmap to work together”.

“We are not against wind energy, it seems very necessary to us, but in addition to being renewable we remember that it also has to be sustainable, for which it has to be an energy that cannot be located anywhere, but has to cause a minimum impact on the environment “, explained Sergio Diez, while pointing out that” the mountain areas in which the macro-wind farms are projected are not the ideal ones “, which is why” they have generated a rejection in the population very important”.

Campillo / ICAL

For this reason, he considered it “essential” that the administrations “take into account that if these projects do not arise from the inhabitants themselves, the territory must be very aware that they are multinationals that come to plunder the resources in some way”, which is why that “they do not have the approval of the inhabitants.”

An approval that is not available because, according to the representative of the Platform, “what is not wanted is to mortgage the mountains, one of the main values ​​that we have, during the 30 years that the concessions of the parks “, since in addition” the areas are used as economic use at the level of pastures, livestock and other types of activities such as tourism, which today generates a fabric that is true that it is small and should be promoted “, but” very diverse “which” is not to be replaced by a monopoly of multinationals that want to exploit a single resource and make the area exclusively dependent on a single company or a single resource “.

Diez recalled that “there are many cases at the national level and in the province of León itself of what this type of monopolies mean in the end the day that companies decide to close and disappear because they are no longer profitable”, so that “the inhabitants become they are once again in an empty territory and without resources “and” they would throw away the last 15 years in which they are working to diversify the economic offer “.

For all these reasons, Sergio Diez set his sights on the actions taken by the Platform at the moment in which the administrative process of the wind farm projects begins in order to present allegations. For this reason, from the Platform for the Future of the Central Mountain of Leonesa, informative talks are being held in different parts of the province, while keeping an eye on these deadlines to start legal processes.

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Montaña Central Leonesa refuses to “mortgage the mountains” to build wind farms

The Platform for the Future of the Central Mountain of Leonesa holds a meeting with entities opposed to the wind farm projects for the Mountain of León. In the image, the president of the platform, Esther Domínguez. / Campillo / ICAL

Miriam Badiola / ICAL
| 09/27/2020 – 1:05 p.m.

The Platform for the Future of the Central Mountain of Leonesa showed once again this Sunday its rejection of the wind farm projects for that area, considering that “they do not want to mortgage the mountains or replace their economic use by a monopoly of multinationals who want exploit a single resource and make the area exclusively dependent on a single company or a single resource “, according to one of its representatives, Sergio Díez.

This was pointed out by the representative of the Platform for the Future of the Central Mountain of Leonesa during the celebration in Pedrún de Torío of a meeting of 25 groups and entities of the province, from different fields, both social, educational, sports and ecological that have decided to unite to “be able to work together against the installation of wind projects in the Leonese mountain” and that in today’s meeting they decided to “set a roadmap to work together”.

“We are not against wind energy, it seems very necessary to us, but in addition to being renewable we remember that it also has to be sustainable, for which it has to be an energy that cannot be located anywhere, but rather has to cause a minimum impact on the environment “, explained Sergio Diez, while pointing out that” the mountain areas in which the macro-wind farms are projected are not the ideal ones “, which is why” they have generated a rejection in the population very important”.

Campillo / ICAL

For this reason, he considered it “essential” that the administrations “take into account that if these projects do not arise from the inhabitants themselves, the territory must be very aware that they are multinationals that come to plunder the resources in some way”, which is why that “they do not have the approval of the inhabitants.”

An approval that is not available because, according to the representative of the Platform, “what is not wanted is to mortgage the mountains, one of the main values ​​that we have, during the 30 years that the concessions of the parks “, since in addition” the areas are used as economic use at the level of pastures, livestock and other types of activities such as tourism, which today generates a fabric that is true that it is small and should be promoted “, but” very diverse “which” is not to be replaced by a monopoly of multinationals that want to exploit a single resource and make the area exclusively dependent on a single company or a single resource “.

Diez recalled that “there are many cases at the national level and in the province of León itself of what in the end this type of monopolies suppose the day that companies decide to close and disappear because they are no longer profitable”, so that “the inhabitants They are once again in an empty territory and without resources “and” they would throw away the last 15 years in which they are working to diversify the economic offer “.

For all this, Sergio Diez set his sights on the actions taken by the Platform at the time the administrative process of the wind farm projects begins in order to present allegations. For this reason, from the Platform for the Future of the Central Mountain of Leonesa, informative talks are being held in different parts of the province, while keeping an eye on these deadlines to start the legal processes.

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the option of retirees to have liquidity in old age

It’s about a loan The amount of which is paid at once or in several installments and which is guaranteed with a mortgage on a property (which may or may not be the borrower’s habitual residence). It is awarded to a person older than 65 years or younger but with a certain degree of disability or dependency.

The loan is generally not repaid until after your death and for the heirs. If they don’t, the bank forecloses the home.

Like is logic, the bank will take care to make a very prudent valuation of the property and the life expectancy of its client, so the amount that can be obtained by this formula will not be analogous to the one that the purchaser of a home can obtain in a mortgage for the purchase.

Although the origin of this figure is Anglo-Saxon, it is well received in Spain because it is common for the elderly to own their home, which becomes a mechanism to make up for the lack of income in the last stage of life without having to leave your home or even being able to rent it.

* The answer has been prepared by the law firm Echeandia & Alevito: www.echeandia-alevito.com

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watch out for interest and commissions

For those who can afford it, this is a good time to fund the buying a home. And it is that Spanish banks, which need to earn money to improve profitability weighed down by the coronavirus crisis, market very attractive mortgages with rates that they hover around historical lows.

Even so, from the HelpMyCash.com comparator they remember that having good interest does not ensure that you pay little for one of these loans, as there are other aspects that can increase its price. Therefore, they have developed a simple manual in which they explain how you can save the most possible money in hiring a mortgage.

1. You have to adjust the amount and the term

According to this comparator, the first thing to look at is the amount. Banks usually finance up to a maximum of 80% of the home’s value, so you have to have savings to pay the remaining 20% ​​plus an additional 10% to pay the purchase and sale expenses. However, if the client has more own funds, they can consider using them to reduce the capital of the loan, because the less money the entity lends, the less interest will be generated.

Also important choose a repayment term suitable. If this is longer, the installments will be lower, but as interest accrues for longer, you will have to pay more in the long run. Therefore, it is advisable to establish a repayment period that allows you to pay affordable installments and which, at the same time, is relatively short (installments should never exceed 35% of what is paid).

Paying accounts to save

2. The interest has to be attractive

The interest rate is a fundamental aspect of a mortgage, because the lower it is, cheaper will be the fees to pay. For this reason, it is advisable to look for loans that have a reduced interest. At a variable rate, interest is currently considered attractive less than Euribor plus 1%, while at a fixed rate it should not exceed 1.75% at 20 years or 1.85% at 30 years.

Within the market we can find various products that meet this condition. In the first group, the Variable Mortgage of Kutxabank stands out (from Euribor plus 0.89% for direct debit payroll and take out home insurance and a pension plan) or the ING Orange Mortgage (from Euribor plus 0.99% for domiciliary income and signing home and life insurance). And in the second they do, for example, the Ibercaja One Step Mortgage (1.50% at 20 years in exchange for direct debit payroll) or the Coinc Fixed Mortgage (1.59% at 20 years without bonuses), among other.

3. Bonuses, the fair ones

The interest, of course, is usually reduced (or subsidized) for the hiring of other bank products: insurance, accounts, cards, pension plans … These can cost money, so it is important to choose well the services that will be signed with the mortgage so as not to pay more than the bill.

In that sense, it should be noted that a low-interest mortgage may be more expensive than one with a somewhat higher rate. for the higher price of the additional products that includes. Consequently, when comparing several offers, you have to take out the calculator to see which of them would be cheaper as a whole.

Changing the bank mortgage can save us thousands of euros.

4. Better without commissions

Fourth, the ideal is that the mortgage loan hired has no opening commissionIt is an expense that can cost hundreds or even thousands of euros to the client. It’s fair to say, however, that most banks no longer charge it. A good example of this is the offer of Bankia, whose Mortgage Without Fixed Commissions (from 1.85% to 30 years for direct debit of the payroll) does not include this charge.

Likewise, if possible, it is advisable to avoid commissions for early repayment (to advance capital), subrogation (change bank) or novation (modify conditions). Many entities do charge them, but there is always the option of negotiating so that they are not included in the contract.

And one last commission that few people have in mind is that of maintaining the account to pay the mortgage, whose cost is usually between 30 and 70 euros per year. This can be avoided by signing a loan that does not include it, through direct debit of the payroll (banks do not usually charge it if this requirement is met) or with a negotiation with the entity so that it does not charge it.

5. If the bank pays some other expense, the better

Finally, from HelpMyCash.com they assure that there are certain banks that offer to pay constitution expenses that correspond to the client, such as the appraisal or the cost of the registration verification. The joint cost of these two items does not involve a large outlay (about 350 euros on average), but if the entity takes over, so much the better for the client.

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They already register for two lines of Procrear mortgage loans

The government launched Procrear, which has already opened the registration of two lines of mortgage loans for construction and expansion. The first will grant 30,000 credits of up to $ 3.5 million and allows financing works of up to 60m2 and the expansion line plans to grant 2,000 credits of up to $ 1.5 million for works of up to 30m2.

After the opening of registrations for the personal credit lines of Microcredits, Refurbishment, and Gas Improvements, the National Government now opens the registrations for the Extension and Construction mortgage credit lines. Registration for these lines is done from the website of the argentina.gob.ar/procrear program.

The credits may only be used to carry out construction, extension and completion works of the family home of permanent occupation of the person who registers.

In the case of the Procrear Ampliación line, the maximum work allowed must not exceed 30 square meters and the dwelling with the extension included may not have a surface greater than 90 square meters covered.

Extension is understood to be the works that are carried out in a habitable dwelling that require a project aimed at increasing its surface, trying to optimize its condition.

The amount of credit for the Expansion line is up to $ 1,500,000, with a term of 180 months and with a fixed rate with adjustable capital in relation to the evolution of wages (Salary Evolution Coefficient published by INDEC), according to the new Hog.Ar. coefficient

The Construction line, for its part, includes loans that finance the completion of works and construction of up to 60m2. Termination is taken as those cases in which the pre-existing work progress does not exceed 70% of the approved work plan and all building work without pre-existing progress will be considered as a construction destination.

BUILDING

In the case of construction, the property to be built must itself constitute an independent functional unit, that is, at least one studio apartment, with bathroom, kitchen and separate entrance.

The Construction line credits go up to $ 3,500,000, have a term of up to 360 months and also have a fixed rate with adjustable capital in relation to the evolution of wages, with the new Hog.Ar. coefficient.

Some of the general requirements to take into account at the time of registration are: be Argentine, natural or by option, or foreigner with permanent residence, have a valid National Identity Document, the registered family group must have income from formal jobs, Retirements and / or Pensions and the sum of this net monthly income must be in the range of two (2) and eight (8) SMVyM at the time of registration.

Likewise, those who register must be between eighteen (18) and sixty-four (64) years of age. The Procrear program has a total of nine lines of credit between mortgage loans and personal loans. Among the mortgage loans, in addition to the Construction and Expansion lines, there are those for Urban Development, Housing Development and Lots with Services.

On the other hand, personal credit lines are divided into Refurbishment, Microcredits, Gas Improvements and Sustainable Improvements.

Through the nine lines, 300 thousand loans will be granted, 44 thousand new homes will be built and 10 thousand new lots with services throughout the country will be awarded.

Applicants’ family income may not exceed the equivalent of 8 times the minimum wage

With this relaunch of Procrear, the National Government seeks to recover and give new impetus to a federal initiative that, with an investment in 2020 estimated at $ 25 billion pesos, seeks to reaffirm the role of the State in urban planning policies and the use of water. inclusive land, which guarantee the right to housing and promote equal access to better living conditions for thousands of Argentines.

The estimated date for the next Procrear draw is September 30, where the families who will be able to access the formation of personal credits for the Repair and Microcredits lines will be known. In the next few days, the registration cut-off dates and the draw for the mortgage credit lines will be reported.

REQUIREMENTS

Among the requirements, the applicants’ family income may not exceed the equivalent of eight times the minimum, vital and mobile salary, that is, $ 135,000, and for the construction line they must not be the owner or co-owner of a home. While both the participant and the joint owner must meet the following requirements:

– Be Argentine, natural or by option, or a foreigner with permanent residence.

– Have a valid National Identity Document.

– The family group must have income from formal jobs, Retirements and / or Pensions. The sum of the family group’s net monthly income must be in the range of two (2) and eight (8) minimum vital and mobile wages (SMVyM) at the time of registration, that is, between $ 33,750 and $ 135,000.

– Be between 18 and 64 years of age at the time of registration.

Those who want to access these lines of credit will register through the website of the Ministry of Territorial Development and Habitat (https://www.argentina.gob.ar/habitat/Procrear).

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