Currently, the Russian banking sector is experiencing a wave of popularity of such a procedure as mortgage refinancing. The military personnel of the RF Armed Forces who bought housing under the target program have such an opportunity, including, but with a number of features. What are the main nuances of refinancing a military mortgage and can all contract workers expect a reduction in interest rates?
Features of the loan program
The main purchase of housing by the military is the funded mortgage system, founded back in 2005. Last year, the amount of annual accumulation amounted to about 260 thousand rubles, and the length of service in the program should have been at least three full years. The funds that were accumulated in the program are the basis for the first installment when buying a living space in a mortgage.
When a soldier purchases an apartment, it remains pledged not only with the bank, as is the case with civilians, but also with the supervising organization - Rosvoenipoteka. The function of this service is to certify the military who want to participate in the accumulation program or take advantage of it. She will be the payer of 1/12 of the accumulated part every month on the account of the mortgage. Today, this amount is 21,666 rubles. In simple words, so much money is paid by Rosvoenipoteka, and if a larger payment is required, the difference is paid by the borrower.
Recently, the percentage of housing loans has declined. Therefore, many borrowers who entered into a debt agreement several years ago have a very reasonable question of refinancing a military mortgage at a lower percentage. But, unlike conventional civil lending, this target program has its own characteristics, which should also be taken into account.
Possible options
The main provisions under which it is possible to refinance a military mortgage at a lower interest rate is either the fact that the loan was issued before the funds were transferred, or if the contractor pays a part of the amount independently. So, the reason will also be the dismissal from service.
The simplest option is to contact the same bank where the mortgage is registered. You will need to write a request to transfer the loan to terms that are more favorable in connection with the current offers of the bank. Mortgage refinancing at a lower percentage will be executed in an additional agreement that will change the current conditions, otherwise everything will remain as before.
If there was a desire to change the bank, you should clarify whether he is a member of the cooperation program with Rosvoenipoteka, otherwise the whole process can be interrupted only for this reason.
Refinancing at your bank
The process of changing the loan conditions for the current loan in the same bank where it was received is called restructuring. In this case, a specific goal is pursued: the payer seeks to reduce the amount of payments by recalculating interest on a military mortgage while maintaining the payment terms. If there are no nuances in the contract and problems in the relationship between the bank and the borrower, then, as a rule, the procedure is quick and without extra effort. The essence of the procedure is to sign a new agreement, which is a new loan, which automatically repays the old one. It remains only to pay a lower amount for next obligations.
Transfer of a loan to another bank
Last year was marked by a new opportunity, which allowed transferring mortgage debt to another lending institution. The essence of the military mortgage refinancing procedure, the conditions and stages are the same as during the restructuring: the new bank allocates funds that cover the old debt, but a new agreement opens with a smaller amount of payments to the account of another bank. The benefit of a financial institution is to receive interest on the use of its money.
Unfortunately, this option may already have some problems for registration in the case of military personnel. They are most often connected with the fact that before the mortgage is paid off, the apartment owner is also Rosvoenipoteka, since it is at the expense of this organization that all or most of the payment is paid off. Thus, it is impossible to carry out such operations without notifying the state. This circumstance will not play a role if the payer is no longer a serviceman. After leaving the army, the state ceases to pay its part, which removes the right to pledge an apartment from it.
Property valuation
Mortgage lending is carried out by providing collateral liabilities for living space. When accepting debt obligations from another bank, the new lender must be sure of their viability. This is supported by an assessment of the value of the apartment and its ratio with the loan amount. This will require professional expertise in the assessment of value.
The appraiser conducts the entire procedure in accordance with state requirements and the wishes of the bank, this will avoid additional rights to re-examination. It is best to follow the list of financial institution, which will list the trusted organizations whose competence it has no doubt. But it is worth remembering that a resident must pay for the services of an appraiser. The average cost of an expert assessment of housing ranges from 3 to 5 thousand.
Required Documents and Steps
Before proceeding with the registration of the refinancing procedure for a military mortgage at a lower interest rate, a package of necessary documents should be collected at Sberbank or another financial institution working with such programs:
- passport or similar identification document of the applicant;
- the second such document (most often used by SNILS, or TIN);
- certificate of income of the applicant;
- military ID;
- permit certificate for the funded system program;
- documents for housing, including a mortgage agreement;
- bank statement of the loan balance.
An application is made to the bank after all the documents are collected. The application, drawn up according to the banking model, is attached to the package of securities. If the bank changes, then an additional agreement is drawn up. After everything is done and there are no problems, the organization draws up a transfer to the account of the old loan, thereby closing it. For early repayment, a statement of the borrower is used, which confirms his intention to close the debt earlier. If the bank has been changed, then from the first bank you will need to provide confirmation of the closure of debt obligations.
Bank conditions for military mortgages
Currently, the interest rate on loans is declining, now showing a lower bar by 2-3%. This fact provides increased demand from military personnel with a mortgage. The average rate is 9.5-10.5%, which is relevant for all leading banks in Russia. Analyzing the situation in the banking sector on the issue of mortgages, we can assume that rates will continue to decline.
Standard practice shows that the term of a mortgage is tied to the length of service of the military. Credit organizations prefer the option when a person remains in service until the end of the loan.This is due to the fact that the state guarantees regular payments while the borrower continues his work in the armed forces.
In the vast majority of cases, the maximum amount is limited to 2.3 million rubles, and the percentage of the down payment is around 15. That is why, when a borrower is obligated to pay for a loan on his own, he wonders how to refinance a military mortgage.
Reasons for refusal
Payers from the ranks of the Russian army are considered the most desirable for banks. As mentioned above, it is the state that pays most of the payments, which reassures the lender's fears about the risk of non-return of funds. But there is always a risk of refusal to refinance a military mortgage at a lower percentage.
First of all, the lack of personal funds to pay off the difference between the main payment and the state part may serve as a cause for concern for the bank about a positive outcome of the transaction.
Another reason for refusal may be a small amount of debt balance, as banks have lower thresholds for this procedure. In addition, the dismissal from service for personal reasons, too, will not be in vain.
The most acute cause will be negative moments in the credit history. In case of delays without a good reason, you can forget about the favorable attitude of the bank.
Dismissal from service and refinancing
If a citizen leaves the army for some reason, then the fate of the mortgage will depend on them.
It will not be necessary to reimburse government spending after 20 years of service, or after 10, but with the recognition of unfit for continued service as doctors. However, the balance will have to be paid on your own.
If the service experience is not enough, then the funds are refundable, but without interest. The amount is split up to 10 years.
Dismissal will be considered critical for the following reasons:
- deprivation of rank;
- deprivation of liberty;
- deprivation of the right to hold office;
- loss of citizenship or citizenship of another country;
- detection of drugs or psychotropic drugs in the blood, or related offenses.
These reasons lead to the fact that you have to pay off the state in full, and also pay interest.
In any case, the former military has the right to refinance a military mortgage at a lower percentage, like civilians, regardless of the conditions of dismissal.
