OREANDA-NEWS. September 23, 2009. Sviaz-Bank has started issuing mortgages under the Mortgage Program it has just launched, reported the press-centre of Sviaz-Bank.

Today, the Program covers 28 regions across Russia where the Bank has begun accepting mortgage applications. Until the end of this year, the Bank plans to increase to 50 the number of Russia’s regions, with the remaining regions among them to be included in the Program early in the fourth quarter of 2009. The first loan under the Mortgage Program was issued by Sviaz-Bank’s Irkutsk branch, Siberia, on September 11, 2009.

“We plan to rapidly increase the monthly amounts of mortgages we are going to issue,” said Irina Busheva, Vice Chair of Sviaz-Bank’s Management Board. “Moreover, we will place accent on mortgages to be issued in Russia’s regions, above all. The Mortgage Program offers something more than acceptable financial terms and long repayment periods; it is also that taking out a mortgage is simple and convenient. Bank employees will give whatever consultation a customer may need at all stages of real estate selection and fulfill all procedures to have a mortgage transaction registered with official authorities.”

Mortgages are issued under the Bank’s Program to buy apartments and individual residential houses on the secondary housing market. The average interest rate on a mortgage is 16.5%, mortgages are issued for up to 30 years, and the borrowers are required to pay at least 30% of their own funds against the cost of the real estate in case of an apartment bought for mortgage funds, and at least 40% of the mortgage applied for to buy an individual residential house.
No fee is charged for examination of a mortgage application. The Bank makes a provisional decision to issue a mortgage without requiring the borrower to submit any documents related to the real estate to be bought.