M.Ulambayar, Director of Housing Financing Corporation was interviewed regarding the 4000 apartments’ mortgage project.
Q: How is the progress of the project; did you start providing loans for the state workers?
M.Ulambayar: We are currently operating on the project made by the government’s decree number 368. We have started to provide loans up to MNT 40 million with annual interest of 8 percent and the length of the loan is 20 years. Additionally, amendments were made to the proposal and state workers are now able to choose their own apartments.
Q: What are the requirements to get mortgage loans?
A: First you have to be a state worker and you also have to be included in the limit boundary set by the Government. The state worker will be chosen during the state organizations’ open meeting. The amount payable each month must not be greater than the 45 percent of households’ income per month. Also, the lenders must have good credit histories with the bank and other financial organizations. The apartments and flats must be new.
Q: What kinds of documents are required?
A: There are 7 documents necessary if we look at all the lists above. It includes: Loan application, passport, copy of marriage certificate, income description, and copy of social insurance book, contract to buy and sell, documents for estate property and documents for other types of family income.
Q: The price of 1 Sq Meter of building should be no greater than MNT 650 thousand according to the Government. The construction companies are completely against this. Do you have any statistics and calculations for this matter? What are prices of the apartments being loaned to the state workers?
A: The decree of the project states that the price should not be greater than MNT 650 thousand. But the issue is that there is no such price in the Capital according to the market price and construction companies. This price is acceptable outside the Capital city and in terms of the 40 thousand apartment project that is being implemented.