Conditions
 
Loan purpose
Residential real estate acquisition
    
Loan type
Mortgage loan granted for the acquisition of residential real estate within the framework of "Affordable housing for young families " national target program 
    
Loan currency 
AMD
   
Annual interest rate (fixed)
Primary market Secondary market
AMD 1.000.000-27.750.000 AMD 1.000.000-22.500.000
7.5% 6.8% 7.3%
Loan to pledge value ratio up to 92.5% Loan to pledge value ratio up to 50% included Loan to pledge value ratio up to 50-90%
 
   
 Annual actual interest rate
Primary market- 8.48-10.5%
Secondary marker- 3.81-8.32%
   
Subsidized interest rate
Within the framework of the state target program "Affordable apartments for young families", the government will provide subsidies only in case of acquiring an apartment / dwelling from the secondary market.
In case of acquiring real estate in Yerevan city 2%
In case of acquiring real estate in the regions of the RA 4%
 
Loan term
from 120 up to 240 months
   
Grant way
Cash and cashless
   
Prepayment
In case of primary market minimum 20% and secondary market 30%, or 
minimum 7.5% for primary market and 10% secondary market, if another residential real estate is pledged by the Borrower in addition to the residential property or apartment to be acquired or an advance insurance in the amount exceeding 80% in case of primary market and 70% in case of secondary market is available.  
 
Redemption frequency
Monthly, equally (annuitant), or 
Non-equally (differential).  
 
Security
Acquired Real Estate (if necessary other residential real estate, which shall be co-borrower's property)
   
Loan to pledge value ratio
In case of primary market - maximum 80% of acquired real estate market and acquisition minimum value , in case of secondary market- 70%, 
The maximum amount can be in the amount of  90% of the market and acquisition minimum value of residential property to be acquired, if another residential real estate is pledged by the borrower, moreover in case of collateral of the residential real estate to be acquired and an additional real estate, the  amount of the loan shall  not exceed 80% of the total market value of pledged real estate, in case of acquisition of an apartment from the primary market and 70% in case of acquisition of an apartment from the secondary market.  
 
Commission fee
AMD 5000 for the study of the loan application which is non-refundable,
Account service fee per month- 0.03% of loan amount but no more than AMD 5.000  
     
Withdrawal fee
0.5%  
 
Expenses related to the collateral arrangement
The borrower shall bear all the expenses related to the collateral arrangement  (notarization, registration of the real estate in subdivisions of Cadastral territory) 
Notary fee - AMD 15.000-25.000
Unified reference  (on restrictions against real estate) - AMD 10.000
Certificate on the registration of right over real estate- AMD 27.000-75.000
   
Loan arrangement is realized
ARMECONOMBANK” OJSC head office and branches. 
The loan is presented to the competent body if the applicant credited minimum 80% of the assessed liquidation value of the real estate to the account opened with ARMECONOMBANK OJSC. The credited amount is kept in the account as long as the competent body makes decision on the loan provision or rejection.  
   
Decision  period
Up to 20 business day (in case of mortgage the loan is provided within 5 business days following the receipt of collateral registration right)
   
Guarantee
Real estate security is made by the customer at the insurance company licensed by RA CB, according to the tariff determined by the latter. The tariffs vary from 0.16% to 0.18% of the loan balance. Insurance for accidents of the Borrower and Co-borrowers is realized by the customer (except the co-borrowers having no income) in the insurance company licensed by RA CB, according to the tariff determined by the latter minimum in the amount of the loan balance.  The tariffs vary from 0.16% to 0.18% of the loan balance. 
The annual insurance premium on prepayment is calculated at the rate of 1.8% of the insurance amount (the tariff is applied if the customer signs or renews insurance contracts with “SIL Insurance” ICJSC on the insurance of the real estate to be acquired and for accidents of the Borrower and Co-borrowers, otherwise 2% tariff  will be defined).  
Real estate appraisal
Assessment is realized by any assessment organization licensed by RA legislation and cooperating with the Bank, according to the tariff determined by the latter- AMD 20.000  
 
Acquired real estate
The purchase price of a residential property (apartment, residential house) purchased in the Republic of Armenia should not exceed 30 million drams, in the case of the primary market and AMD 25 million in the secondary market, and at the same time the estimated value should not exceed 31 million and 26 million AMD.  
   
Penalties
For each overdue day a penalty in the amount of  0.13% of the outstanding  amount  is imposed  against the amounts (loan, interest, other fees) not paid within the term set forth by the agreement.  
 
Statement provision
Free of charge  
  Attention! 
A Co-borrower can be one or more member of the Borrower’s family.
Early loan repayment is allowed for which no penalties and fees are charged.
The choice of the customer
Proportionally reduces the amount of monthly payments by keeping the amount repaid in advance, leaving the loan repayment period unchanged, or
Reduces the loan repayment period, leaving the amount of monthly payments unchanged.
In case of non-fulfillment or improper fulfillment of the obligations set forth by the Mortgage agreement, the property pledged by the borrower may be confiscated.
The mortgage agreement shall be verified by notary.
The monthly commission fee may not be charged, if the annual interest rate of the loan is 0.5 percentage point higher than the set interest rate.
During the last 12 months, the total number of days for all loans / current and repayable / delinquent / delinquent loans should not exceed 30 calendar days.
Interest is calculated on the loan balance.
When applying for a loan, the Bank provides the borrower with an individual sheet of the essential terms of the consumer loan, which sets out the individual terms of the loan to be provided.
"Your financial directory" is an electronic system that makes it easier for you to compare the services offered to individuals and find the most effective option for you. https://www.fininfo.am/compare-mortgage-loan
Prior to the conclusion of the loan agreement, the Bank shall provide the borrower with the proposal and draft of the loan agreement seven days prior to the conclusion of the loan agreement.
The offer to conclude a credit agreement is valid for seven business days (when contemplating) unless a longer period is specified in the offer.
To get acquainted with the tariffs of the services rendered within the implementation of loan operations please visit the link- www.aeb.am/media/2019/10/3044.pdf
Demands
Requirements to Borrower
The overall mutually added age of both of the spouses should not exceed 70
The age of one of the spouses should not exceed 35
Only parent whose age does not exceed 35
The net income of the borrower must not exceed AMD 800.000
Neither of the spouses shall own a residential real estate more than 18 square meters within RA territory
Positive decision grounds
Positive loan history (if any)
Reliability of the submitted documents
Source of stable and sufficient income
Availability of a pledge acceptable by the Bank
Compliance with the criteria of the state target program "Affordable Housing for Young Families"
Negative decision grounds
Negative assessment of customers financial state
Non-credibility of the presented documents
Inadequacy of the “Affordable Apartment for the Young Family” state purpose project criterion
Customer’s negative loan history
Other reasons that will hamper the loan repayments according to the Bank assessment.
General Information
Documents to be presented by individuals
 
PunctPassport copies, as well as those of the family members
PunctCopies of Borrower’s and husband’s(wife) birth certificates
Punct Marriage certificate copy (if any)
PunctStatement from the workplace (if necessary, information about the amount of net wages paid during the last 12 months, income tax, social security payments and the copies of work books)
PunctStatements from personal  accounts  of  individual borrower(s) and co-borrower(s) from tax authorities
PunctDocument containing public services number:
PunctCopy of property certificate (copy of the document serving as a basis of acquired apartment certificate, if necessary)
Punct Statement claiming that the present apartment is not under barrage (the original and 1 copy) to be presented after the confirmation of the loan
PunctPassport copy of the vendor (proprietors)
PunctStatement about the registered persons from the vendor's residence (3rd form)
PunctDiploma copy (if necessary)
PunctStatement from the cadastre information center about the applicant's and husband’s(wife) real estate
PunctOther documents , if necessary
Updated:
Conditions
Updated: 14/12/2021 10:26