Individual loans provided to individuals by products / Terms and Tariffs /

Loan purpose

Construction or acquisition of residential real property in RA (apartment, single-family home in primary and secondary markets).

Eligibility

The individuals included in the certificate or a member of their family. The borrower's age limit will not be considered if the loan is shared by a co-borrower who will not turn 63 during the entire loan period.

Program beneficiaries

Individuals determined pursuant to Government resolution #710-L as of May 16, 2024

Loan currency

AMD

Loan amount

AMD 2,000,000.00 – AMD 30,000,000.00

Loan period

120 months

Down payment

0 %

Nominal interest rate per annum

13%

Actual interest rate per annum

14.27%

Maximum support limits

The size of support per family member will be based on the settlement area chosen by the beneficiary family. The list of settlements is approved by Government resolution #710-L as of May 16, 2024.

Penalty for early repayment of the loan amount

Not applicable

Penalty charged for late payment of the principal and interest amounts

For past due principal amount - 0.015% per day,

For past due interest - 0.1% per day.

Loan security

Real property to be purchased, option to purchase real property. In case of construction, the land parcel allocated and designed for building /the real property to be built.

Insurance

Not required

Loan disbursement method

Non-cash, in a lump-sum or several tranches

Bank fees

No fees will be charged  

Creditworthiness assessment

1. As of the date of submission of the loan application, the borrower, co-borrowers,  pledgers should not have substandard liabilities,

2. If the loan amount does not exceed the maximum limits under the state support program, no creditworthiness assessment will be needed.

If the loan amount exceeds the maximum limits under the state support program, borrower creditworthiness assessment should be executed, with OTI (obligations to Income) maxing out at 100%.

Timeline for making decision on loan application approval or rejection

1. The decision on approving or declining the loan application will be made within 10 (Ten)  business days upon submission of the entire package of required preliminary documents.

2. The loan will be provided within 2 (Two) business days after the approval of the loan applicatoin and completion of property pledging procedure.

Special provisions

1. All the members of the beneficiary family should be Republic of Armenia citizens.

2. The apartment or single-family home space should not be less than 12 sq.m per beneficiary family member.

3. The value of or option to purchase the apartment or a single-family home should not exceed AMD 55 million.

Other provisions

The cases not regulated under these terms and conditions will be subject to regulation pursuant to Government resolution #710-L as of May 16, 2024.