OREANDA-NEWS. November 07, 2012. Sviaz-Bank has launched a new mortgage program, Your Mortgage, to make loans for the purchase of ready housing. The new program will replace and improve on the previous products – Your Home, Housing for the Reliable, and Housing for the Young, making the best use of their advantages, reported the press-centre of Sviaz-Bank.

The interest rate charged under the new program depends, among other factors, on the kind of real property pledged as security. For example, it will be 10.5% up per annum on a loan made against the pledge of real property to be purchased, and from 9.5% up per annum when real property has already been pledged to the Bank as security.

The ultimate interest rate is fixed individually for each customer and also depends on the mortgage period and the quality of the borrower’s credit history, form of income confirmation, size of the down payment, payment of the fee for mortgage issue, and payment of recommended insurance premiums.

When a mortgage is sold against the pledge of existing real property, no down payment is required, and when the housing to be purchased is deposited in pledge, the down payment must be at least 20% of its price. The mortgage period of three to 30 years is unchanged, and so is the maximum amount of the loan – up to 60 million rubles.

For example, a family taking out a loan of 2 million rubles for a term of 20 years will have to pay around 21,000 rubles a month.*

“We have modified our line of mortgage products, and are now offering our customers a general-purpose and affordable program, Your Mortgage, that can be adjusted flexibly to every customer’s demands and give consideration to anything affecting the mortgage price, and, in the end, we offer a unique product and tolerable loan maintenance terms. To put it differently, we have standardized our programs for housing purchases on the secondary market, on the one hand, and give our customers a fully individualized product with a broad selection of preferences, on the other” said Olga Oleinik, Vice Chair of Sviaz-Bank’s Management Board.

*This is approximate calculation made on the basis of the 11% interest rate.