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Mortgage loans (under the State support program for providing access to affordable housing to families displaced from certain regions of the Republic of Artsakh)

1.	Loan purpose	Using Bank’s own resources	Using resources of National Mortgage Program		Using resources of Housing for Young Families Program
		Construction or acquisition (in primary and secondary markets) of residential property (apartment, single-family home) in Armenia.			Acquisition (in primary and secondary markets) of residential property (apartment, single-family home) in Armenia.
2.	Eligibility	Using Bank’s own resources	Using resources of National Mortgage Program		Using resources of Housing for Young Families Program
		The individual specified in the certificate or a member of their family. The borrower’s high threshold age will be no hindrance if the loan is shared by a co-borrower who will not turn 63 during the loan service period.
3.	Program beneficiaries	Persons defined by Article 4 of Government decision # 169-L dated February 17, 2022
4.	Loan currency	AMD
5.	Loan amount	Bank’s own resources	National Mortgage Program resources					Housing for Young Families Program resources
		AMD 2,000,000.00-AMD 30,000,000.00	AMD 2 mln – AMD 35 mln for standard acquisition or construction loans AMD 2 mln – AMD 45 mln for acquisition of energy-efficient apartment or single-family home or construction of energy-efficient single-family home					AMD 2,000,000.00 – AMD 22,500,000.00
6.	Loan repayment period	120 months
7.	Down payment	The minimum down payment represents the following percentage of either the appraised or acquisition values of the real property (purchased both in the primary and secondary markets), whichever is lower: 2.5 % in provinces 10 % in Yerevan 1 %, if the assistance is provided for purchasing residential property with a mortgage in a settlement included in the list of the Republic of Armenia rural border areas getting social assistance as approved by Annex #1 to decision of the Republic of Armenia Government #1444-N dated December 18, 2014 or if the beneficiary has 4 minor children or if all the members of the family included in the certificate are older than 65.
8.	Nominal interest rate per annum	Bank’s own resources	National Mortgage Program resources		Housing for Young Families Program resources
		13%	10 - 13 %		10 %
9.	Assistance limits	1. For acquisition or construction of residential property in Yerevan – up to AMD 8 mln, while for interest payment – up to 8%, 2. For acquisition or construction of residential property in provinces of the Republic of Armenia – up to AMD 10 mln, while for payment of interest – up to 10% under NMC and HYF programs, up to 13% - if using the Bank’s resources. 3. For acquisition or construction (completion of construction) of residential property in a settlement included in the list of the Republic of Armenia rural border areas: for monthly repayment of mortgage loan principal – up to AMD 12 mln in total, while for interest payment – up to 12% under NMC and HYF programs, and up to 13% if the borrower uses the Bank’s resources. 4. For acquisition of residential property with a mortgage in border areas - up to AMD 14 mln, while for payment of interest - up to 13%, 5. For construction of single-family home in border areas – up to AMD 16 mln, while for payment of interest – up to 13%.
10.	Penalty for loan prepayment	Not applicable
11.	Penalty charged for late payment of loan principal and/or interest	For past due principal - 0,015 % per day, For past due interest - 0,1 % per day.
12.	Loan security	The real property to be purchased, the right of first offer. For construction loans, the land lot on which the real property is being built/the real property under construction.
13.	Insurance	Bank’s own resources	National Mortgage Program resources			Housing for Young Families Program resources
		Not required	1. Insurance of pledged property 2. Life insurance of borrower and co-borrowers. 3. The loan balance calculation does not include the amount of government’s financial assistance.			1. Insurance of pledged property 2. Life insurance of borrower and co-borrowers. 3. The loan balance calculation does not include the amount of government’s financial assistance.
14.	Method of loan disbursement	Non-cash, in a lump-sum or in several tranches.
15.	Bank’s fees and charges	Not applicable
16.	Creditworthiness assessment	1. The borrower, co-borrowers, pledgers should not have current substandard loans as of the date of submission of loan application, 2. If the loan amount does not exceed the limits of government’s assistance as specified in the program, creditworthiness assessment is not required (in case of absence of any other credit liabilities).
		Bank’s own resources		National Mortgage Program resources			Housing for Young Families Program resources
		If the loan amount exceeds the limits of government’s assistance as specified in the program, creditworthiness assessment will be conducted in compliance with the Bank’s procedure, besides, the OTI ratio representing the ratio of all obligations to incomes may equal 100% at most.		In compliance with the Program’s procedure for mortgage loan refinancing. Besides, the monthly payments may be calculated as the difference between the contractual loan amount and financial assistance from the government.			In compliance with the Program’s procedure for mortgage loan refinancing. Besides, the monthly payments may be calculated as the difference between the contractual loan amount and financial assistance from the government.
17.	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 made available to the borrower within 2 (two) business days upon approval of the loan application and completion of the pledging process.
18.	Other provisions	The cases falling outside these terms, will be regulated based on the provisions and terms of Government decision 169-L dated February 17, 2022.