"Shagreen" skin by AMF

By 1May , banks-agents of the Azerbaijan Mortgage Fund (AMF) issued 34.9 million manats for the purpose of housing loans. According to the AP report, the Central Bank (CBA), is 16.9% or 7.1 million less than in the same period last year.

Of this amount, the AMF refinanced loans amounting to 21.9 million manats. In January-April, the fund received from the state budget 9.2 million manat to finance social mortgage.

AMF mortgage lending started in March 2006. Issuance of social mortgage lasted from January to July 2007, then ceased to be relevant for banks. Its maximum 50,000 manat at a rate of not more than 4% per annum.

Mortgage loans on commercial terms  are issued in manat only to citizens of the country for a period of 3 to 25 years, the maximum loan must not exceed 50,000 manat at a rate of not more than 8% per annum.

Last year the  banks-agents of AMF issued loans by 97.1 million AZN, which is 14% less than in 2013. It does not mean that the number of people in need of hosing has lessened. Getting a mortgage entails paperwork, need formal high salary (starting form 1,000 manat) and a high percentage of pre-payment. After the February devaluation of the manat to the population,  it is not beneficial to apply to banks. --17D-