The Ministry of Defense introduced a draft decree defining the process of long-term mortgage lending on affordable and favorable terms for buying an apartment or house in the territory of the Republic of Armenia by officers of the officer corps, it is noted on the website of the publication of electronic draft legal acts e-draft.

"Soldiers can use the mortgage lending program for up to 20 years with a maximum interest rate of 7% per annum, 10% prepayment by the state and 3% subsidy at an interest rate, and when buying an apartment or house directly from the developer, the remaining 4% can also be paid due to income tax payments in the manner prescribed by law. The project also regulates relations related to the filing of applications and registration of beneficiaries, ”the draft says.

Prior to the entry into force of the RA Law “On the Status of Military Personnel”, the former law provided for the provision of free apartments or gratuitous state financial support or land plots to military personnel in need of improved housing conditions, in accordance with the requirements of the law.
About 4,000 active and former military personnel have been registered, and the state’s economic capacity has made it possible, at best, to realize up to 100 apartments during the year, and as a result, the number of beneficiaries increases every year.

“The system has exhausted itself, as a result of which the process has become economically unprofitable,” the draft says.

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