Today, the economic situation that has developed in our society does not allow citizens to have sufficiently high incomes. That is why buying a home for many people becomes an overwhelming task. For most Russians, mortgages are simply unbearable. In addition, many are simply afraid to take part in the construction, looking at deceived equity holders and numerous unfinished projects. Unfortunately, today's market does not allow Russians with middle incomes to become the owner of their own housing, having paid an adequate price for it.
Federal program
The Russian government is taking all possible measures to ensure that most citizens of the country are able to purchase their own housing. So, on September 17, 2001, a federal program called “Housing” was approved. The period of its implementation was designated from 2002 to 2010. During this time, the legislative framework was formed and approved in the country, which is necessary to resolve numerous issues related to housing and communal services, housing, and ensuring property rights.
September 5, 2005, V.V. Putin outlined ways to solve problems related to information and social support for the military, state employees, and also vulnerable groups of the population. As a result, a state housing policy was formed , the main principles of which were the following areas:
- the growth of budget expenditures in connection with the allocation of funds to support needy young families;
- the provision of housing to citizens belonging to preferential categories (people with disabilities, war veterans, etc.);
- support for young professionals working in rural areas;
- state subsidizing of mortgage loans, as well as the formation of AHML (agency involved in mortgage and housing lending);
- development of the engineering infrastructure necessary for the existence of residential neighborhoods;
- creation and approval of a regulatory framework that allows for the issuance of mortgage-backed securities.
In order to state. the affordable housing program has come to life; a Council was created under the President of the Russian Federation. Its main task was the implementation of the highest priority projects on a national scale. With this body, the Housing program was finally approved.
First stage
The first steps of the affordable housing program in Russia were carried out from 2006 to 2007. During this period, tasks such as:
- increased housing affordability;
- lower interest rates and expand the boundaries of mortgage lending;
- fulfillment of the state’s obligations to provide with its own square meters the categories of citizens of the country established by law.
As part of the affordable housing program, various events were planned. At the initial stage, this federal project was designed to provide apartments and houses for 69.5 thousand newlyweds, as well as 76.2 thousand other categories of citizens. At the same time, it was supposed to reduce the mortgage rate, bringing it to 11%, as well as expand the scale of housing construction to 12.1 million square meters. m for the entire initial period.
The federal Affordable Housing program has faced many challenges. The most acute of them were the lack of production capacities and cement shortages. This state of affairs did not allow the implementation of the plan in full. Failed to lower the mortgage rate. Instead of the planned 11%, it amounted to 12.8%. The most successful side of the program was government policy aimed at increasing the volume of housing loans. In 2006 and 2007, they were issued for almost 820 billion rubles.
The second stage of the project
The next step of the affordable housing program was 2008. During this period, the government adhered to the following priorities:
- providing the needy young families with the necessary subsidies;
- an increase of 72.5 million in commissioned volumes of residential meters;
- increasing the attractiveness of mortgage lending and increasing its volume to six hundred billion rubles a year.
The implementation of the affordable housing program required significant financial investments. For this, 90.5 billion rubles were allocated from the budget. The tasks that the Government of the Russian Federation set for this stage were also only partially resolved. The decline was observed in the construction industry. Instead of the planned 72 billion, it was possible to master the introduction of only 63.8 billion square meters. m. As in the first stage of the program, only mortgage lending has achieved significant growth. Its scale even exceeded the previously planned by almost 30 billion rubles.
Third stage
The state program "Affordable Housing" received its further development in 2009-2012. The main areas of work of the Government of the Russian Federation during these years were:
- implementation of state support for the housing market;
- improving the quality characteristics of the housing stock and the operation of housing and communal services;
- stimulation of large-scale construction of housing affordable for citizens;
- increase in the amount of authorized capital created by AHML.
To solve these problems, significant financial resources were allocated from the state budget. The main expense items at the same time were:
- solving housing problems of citizens of preferential categories ;
- 200 billion rubles AHML to replenish its authorized capital;
- overhaul of houses and relocation of residents from emergency and dilapidated housing.
With the practical implementation of the federal program, it was possible to stimulate the solvency of citizens. This was made possible through the issuance of maternity capital and AHML funds. In addition, for 2009-2012. 245.5 square meters were commissioned. m of housing. Moreover, the allocated funding from the budget amounted to:
- for the repair of houses - 70 billion rubles .;
- for state certificates "Housing" - 48.2 billion rubles .;
- for apartments for military personnel - 48 billion rubles;
- for housing for WWII veterans - 55.8 billion rubles;
- for relocation from dilapidated and dilapidated houses - 41.5 billion rubles.
General results of the federal program
The national project aimed at improving the living conditions of Russians in 2002-2010 allowed:
- to form a new layer of owners necessary for housing and communal services reforms;
- change the structure of the housing stock;
- increase the share of private developers;
- simplify preparatory procedures prior to the construction of houses;
- increase private housing with a simultaneous decrease in state ownership.
Setting new tasks
On December 17, 2010, the government of the Russian Federation approved the next program in the field of construction of houses and apartments for citizens of the country. It received the name "Housing" and was determined for 2011-2015.
This program has a social orientation and is designed to develop in conjunction with such areas of public life as education and healthcare. It is estimated that 620 billion rubles will be allocated from the budget for the federal project. Moreover, the money will go not only to create a market offering affordable housing, but also to fulfill the state’s obligations to preferential categories of citizens.
It is planned that by the end of 2015 the increase in square meters of apartments and houses will reach 90 million. Moreover, 86.9 thousand families and 172 thousand newlyweds will improve their living conditions. And all this due to subsidizing by local and regional budgets of loans and credits for the purchase of such square meters necessary for people.
The Affordable Housing for Families program aims to increase housing affordability from 12 to 30 percent. Moreover, it is planned to expand the construction of economy apartments.
Subtotal
At the moment, the Housing program continues to operate, and it is too early to talk about its final results. However, in 2012, the President of Russia V.V. Putin sent a message to the Federal Assembly, which outlines the interim results of the national project. It was emphasized that the state made every effort to create the necessary conditions to implement the grandiose program. So, the availability of mortgages is growing. Every year it increases by 40-50 percent. However, so far this is not enough to solve the urgent problem, because only people earning above average can repay such loans. The message also spoke about the successful resolution of the issue of providing housing for servicemen and veterans. The letter also mentioned the increasing volumes of resettlement of citizens from dilapidated houses.
In the same 2012, the Russian government approved a new program. It was called "Providing comfortable and affordable housing, as well as utilities for citizens of the Russian Federation." The action of this program extends from 2015 to 2020. The implementation of this project will take place at the federal level with the participation of the country's entities and bodies involved in local self-government.
Additional tasks
Within the framework of the federal project "Housing", the program "Affordable Housing for Young People" is operating. During its implementation, assistance was provided to thousands of families living in Russia.
The program “Youth - Affordable Housing” took off in 2006. Five years later, it got its second wind, since in 2011 alone more than 2,000 young citizens of the country, who had sealed their lives by marriage, became new settlers.
The program “Youth - Affordable Housing” provides for the allocation of funding from the budgets of all existing levels. Subsidies are subject to young families, including single-parent families. The main thing is that the age of their oldest members does not exceed 35 years. Financing is allocated to repay the main mortgage debt. Subsidies can also be used to pay part of the cost of building or buying a home.
According to the rules of a mortgage loan, a house or apartment until its full redemption is the property of the bank. If the family is not able to repay the funds it has taken, then the financial institution has the right to sell this property by right of ownership. However, the program “Young Family - Affordable Housing” does not allow events to develop in this vein. The state in this case takes responsibility, playing the role of an intermediary between the borrower and the lender. At the same time, the relevant regional authorities are seeking a deferred payment or debt restructuring if the debt arose for objective reasons.
From 2013 to 2020, the program “A Young Family - Affordable Housing” will require significant financial investments, estimated at 1.9 trillion rubles. Only a third of this amount will be allocated to budgets of various levels. The remaining amount will be attracted by private investors and extrabudgetary funds. In particular, certain amounts will be allocated by Sberbank of Russia and VTB Bank.
The government plans to provide almost fifty percent of Russians with housing through social rent. For these purposes, 1/10 of the newly built square meters will be allocated.
What are the main conditions under which state. will the program “Young Family - Affordable Housing” be implemented? Experts estimate that a successful solution to a painful problem is possible with a 20% reduction in the cost of building a square meter. This will be possible with the construction of economy housing, which, in spite of everything, is designed to fully comply with modern standards.
The state also plans to encourage commercial organizations to erect social housing, which will then be leased. The interest of developers is to receive a certain percentage of income from employment contracts.
The program “Affordable Housing for Young Families” involves achieving its main goal with subsidies. It is offered to those who are recognized as low-income and unable to pay a mortgage. Such families receive funds from the state to repay the first installment of the loan. The amount of the subsidy depends on the housing available to the family and the number of its members. On average, from 900 thousand to 1.2 million rubles are allocated. Within such limits is the amount for a family of 3-4 people. The maximum amount of subsidies allocated by the state may amount to 2.2 million rubles.
Project participants
The terms of the Affordable Housing for Young Families program suggest that:
- marriage is officially registered;
- the age of senior family members did not exceed 35 years;
- There is a permanent source of income;
- provision of living space at the time of joining the program is not more than 15 square meters for each member of the family;
- there is citizenship of the Russian Federation;
- the family constantly resides in the territory of the subject of the country where it submits its application;
- income certificates are provided confirming the financial viability of young people.
Obtaining full information about the conditions of the program and submitting the necessary application are carried out in the Department of Housing Policy, as well as in youth affairs bodies located at the place of family registration. Usually they are located in the city or regional administration.
Emerging issues
The Affordable Housing program is attractive to many families. However, a number of problems may arise here that create temporary difficulties for young people. So, with a large number of people wishing to receive state support, the queue is significantly extended. This leads to the fact that the purchase of housing is delayed for a certain period of time.
It also happens that in the secondary market a family cannot find a suitable apartment for itself. In this case, you will need to build or buy it in one of the newly built houses.
Most pitfalls are in the field of mortgage lending. Making such an agreement is not very simple. In addition, the family, due to certain circumstances, may lose its creditworthiness. In this case, monthly mortgage payments will put a heavy burden on young people, significantly reducing their standard of living.
However, do not despair. State support will allow each young family to find an apartment or a house.
Apartments in Moscow
The Affordable Housing program is held in all regions of Russia. She is gaining momentum in Moscow. In the framework of this project, residents of not only the capital, but also any corner of Russia, as well as foreign citizens, can acquire their own square meters.
How is the “Young Family Affordable Housing” program being implemented here? Since 2003, Moscow has built 7.7 thousand apartments, which were distributed as part of this project. This is 462 thousand square meters. m of housing erected by financing the city treasury. At the same time, it is assumed that young people need to pay only the first installment, the amount of which is 30% of the cost of construction work, as well as the decoration and improvement of the territory adjacent to the house.
The remaining amount is allowed to be repaid within 10 years. At the birth of a child, the city treasury allocates funds to pay off 10 square meters of the apartment. The appearance of another small family member allows you to write off the share per 14 square meters. m. The birth of a third and subsequent children makes it possible to repay the loan per 18 square meters of housing.
The Affordable Housing - Youth Program continues to gain momentum. Within its framework, it is planned to provide housing for those who will fall into the category of talented and promising people. After graduation, these young specialists will be in demand in various sectors of the economy.