Government Offered to Reduce Prices for Preferential Housing

The first 260 apartments built in the Yasamal district of Baku within the "preferential housing" system will be launched on May 7 at 10:00 am. Prices for "preferential" square meters remain one of the most discussed issues of concern to applicants," Vugar Bayramov, chairman of the Center for Economic and Social Development (CESD), told Turan.

The interlocutor recalled that the price of one-room apartments, including VAT, will be 29,925 manat, two-room apartments - 47,282 manat, and three-room apartments - start from 65,626 manat. The monthly mortgage payments will be set at 129-136 manat per 1-room apartment, 203-236 manat - per 2-room apartment and 282-288 manat - per three-room apartment, when buying apartments due to social mortgage loans.

"Despite the fact that the cost of apartments is lower than the prices for similar housing located in this area, CESD has submitted proposals to the government to reduce the cost of social housing," the economist said, noting that the organization is proposing that the government take over part of the costs associated with construction of social housing.

CESD believes that cost reimbursement will lead to a sharp decline in prices for preferential meters. Thus, one third of the cost of apartments can be compensated at the expense of the state. As it turned out, this approach will reduce monthly contributions on the social mortgage. In this case, prices for one-room apartments will drop to 19,950 manat, two-room apartments - to 31,521 manat, and three-room apartments - to about 43,750 manat.

Accordingly, monthly mortgage payments will decrease to 87 manat for a loan for one-room apartments, 147 manat for two-room apartments and about 188 manat for three-room apartments. "Such rates can be considered more acceptable for families with low incomes. Given the fact that the country's revenues have increased at a high oil price, finding the source of funding will be easy," Bayramov said.

Recall that the State Agency for Housing Construction announced the sale of apartments in a residential complex built in the Yasamal district of the capital. We are talking about the sale of apartments in residential buildings No. 1, 2, 3 and 4 of this complex. The cost of "housing for the poor" became the subject of criticism in expert circles. "Prices for housing (940 - 950 manat per square meter) built as part of the state project can hardly be called preferential and do not meet the status of social housing," the economist Samir Aliyev said in an interview with Turan.

In the opinion of specialists, should a private construction company set such prices, this would be normal. However, in this case it is the State Agency for Housing - a structure that has access to public resources, as well as free of unofficial payments and expenses. -0-