Mortgage loans allocation conditions
| Conditions | Standard mortgage loans | Social mortgage loans |
| Max amount | 50 000 AZN | 35 000 AZN |
Max annual interest rate | 8% | 4% |
| Max period | 25 year | 30 year |
| Prepayment | 15% | 15% |
Allocation of mortgage loans through the Fund should meet the following requirements:
- Loan should be paid out in Azerbaijan manats;
- Loan should be given to Azerbaijan Republic citizen;
- Mortgage object can be either flat or private apartment;
- Loan amount should not be more than 85% of the market price of real estate loaded with mortgage on the date of Loan allocation;
- Monthly repayment amount on mortgage Loans should not exceed 70% of borrower’s (borrowers’) total monthly incomes.
- Regular repayments regarding life and activity of borrower (joint borrower) and his family and expenses for keeping each family member can not be taken less than indicated living minimum per country.
- Borrower’s age on last loan repayment date should not exceed the limit of retirement age defined in legislation;
- Loan should be provided by the real estate mortgage;
- Real estate loaded with mortgage should be estimated by independent evaluator listed in agent list of AMF and with whom relevant contract on cooperation was signed;
- The rights of mortgage holdershould be registered in state registration according to the applicable laws;
- Principal amount and interest payments on loan should be paid equally (annuity payments) per month;
- Real estate loaded with mortgage should be insured based on market price of real estate not exceeding the amount provided by mortgage loan;
- Life insurance contract. Life insurance of joint borrowers should be calculated in proportionally on personal income and the weight and total amount of joint borrower life insurance should not be less thanthe mortgage loan amount;
- Other requirements as defined by AMF.
Following persons have rights to use social mortgage loans:
- Following persons who are member of young family:
- Member of martyr families (husband\wife, children);
- National Hero (himself\herself, husband\wife, children);
- Refugee or person equal to him\her;
- Person employed in state entities for more than 3 years;
- Person with academic degrees of candidate of science or doctor;
- Person with special achievements in sports (honorary physical and sport trainers, winner of competitions within country (I place), persons rewarded in international competitions (I, II and II places);
- Military workers employed in Ministry of Defense of Azerbaijan Republic, Ministry of National Security of Azerbaijan Republic, Internal Forces of Ministry of Internal Affairs of Azerbaijan Republic, State Border Services of Azerbaijan Republic and Special State Protection Services of Azerbaijan Republic more than 3 years (except military workers serving on call-up period).
Translations are not official and not notarially approved.