The Cabinet of Ministers of Ukraine has made changes to the procedure for preferential mortgage lending for internally displaced persons, utilizing grant funds provided by the KfW Development Bank. Reported by Donbas SOS. These changes are approved by the Cabinet of Ministers of Ukraine Resolution No. 451, dated April 28, 2021.
Read more: Alarming Trend: Decrease in Planned Vaccination Rates in Ukraine and Worldwide
What Has Changed?
- Requirements for Applicants: The requirements regarding the absence of any instances of receiving state support or preferential loans for the construction or purchase of housing have been amended. Now, applicants and their family members must confirm that they have not received such assistance.
- Restrictions on Territories: It has been clarified that residential property located in areas of active hostilities or temporarily occupied by the Russian Federation will not be taken into account. This also applies to territories where state electronic information resources are operational.
- Income Verification: Applicants must confirm their income. If information about income for the previous two quarters is missing from state registries, it can be stated in the application with a note confirming its actual existence.
- Applicant Questionnaire: Changes have been made to the content of the applicant’s questionnaire, which must now include information not only about the applicant but also about their family members, including full names, dates of birth, gender, and passport details.
- Application Submission Method: Due to issues with submitting applications for participation in the program electronically via the Diia Portal, applicants can now submit their intention to receive a preferential mortgage loan in person at regional offices of the State Youth Housing Agency. The Ministry of Digital Transformation is expected to ensure the ability to submit applications via the Diia Portal by January 1, 2025.
Preferential Mortgage Lending Program
It is worth noting that the preferential mortgage lending program for internally displaced persons has been in effect since 2021. From 2021 to 2023, the first phase of the project was implemented with a total amount of €25.5 million. At the end of 2023, the German government, through the KfW Bank, allocated an additional €17 million grant for preferential housing loans for internally displaced persons. With these funds, approximately 400 new preferential housing loans at 3% annual interest are planned to be issued to families of internally displaced persons in 2024.
These changes aim to improve conditions for internally displaced persons in Ukraine and ensure their access to housing amid a challenging socio-economic situation.
