The Deputy Prime Minister and Minister of Construction and Spatial Planning, Predrag Štromar, stated on Thursday that 1,220 applications for subsidizing housing loans have been received so far, and it is estimated that it will be possible to subsidize more than 1,800 loans, urging interested citizens to submit their applications.
The Agency for Legal Transactions and Real Estate Mediation (APN) received 1,220 applications for subsidizing housing loans from all ten credit institutions – banks with which contracts for granting subsidized loans have been concluded, by 11 a.m. today, and the first meeting of the APN committee was held yesterday, thus starting the process of formal approval of applications.
>>>New Issue of Lider: Crown Evidence from Brussels – Due to the Overly Expensive State of Croatia, Too Little is Allocated for Social Welfare and Health
The committee processed about 40 applications and made decisions, Štromar stated at a press conference in Banski Dvori after the Government session.
According to initial calculations of annuities, there is room for more than 1,800 loans, which means there is still room, and the competition will certainly be open next week, emphasized Štromar.
We have not filled the quota; there is still time and space to obtain subsidized loans, the minister said, urging citizens interested in subsidized housing loans to contact banks, and banks to continue submitting applications.
He also warned that some citizens did not submit a complete application, meaning some documents were not valid (usage permit). Those who did not submit a valid usage permit will receive an additional 30 days to complete their application, said Štromar.
>>>RBA: Total Loans in July Fell to 255 Billion Kuna
APN began accepting applications for subsidizing housing loans on Monday at 7:30 a.m., for which the state has allocated 17.5 million kuna in this year’s budget.
The Ministry of Construction and Spatial Planning announced at the end of last week that of the total funds intended for subsidizing housing loans, a larger portion, 75 percent, will be allocated for the purchase of an apartment, and 25 percent for the purchase or construction of a house, while the payout per individual bank is limited to a maximum of 20 percent of the allocated funds.
The following banks participate in subsidizing housing loans: Hrvatska poštanska banka, Erste&Steiermaerkische banka, Podravska banka, OTP banka, Zagrebačka banka, Privredna banka Zagreb, Splitska banka, Karlovačka banka, Istarska kreditna banka Umag, and Raiffeisenbank Austria.
HPB offered the lowest interest rate for loans in euros, at 3.04 percent, while PBZ offered the lowest interest rate for kuna loans, at 3.35 percent.
>>>News that the Most Positive Political Figure in Croatia is ‘Nobody’ Resonated in China
Croatian citizens who are not older than 45 years could apply for subsidized loans, as well as their common-law partners, spouses, and informal life partners, who do not own real estate, or who own only one property but are selling it to purchase a larger one.
This measure will facilitate the repayment of the housing loan for the first four years, as the state will pay half of the monthly installment amount to banks through APN.
Subsidizing loans will be approved for the purchase of an apartment or house, or for the construction of a house, whose price including VAT does not exceed 1,500 euros per square meter. The price can be higher, but in that case, the difference will not be subsidized.
