The Housing Question: What is the situation on the housing market in Vitebsk?

Housing has always been and will be a measure of the well-being and success of its owner. It provides an opportunity to feel protected and confident. Having a roof over one's head, one can safely start a family and have children. A few years ago, coveted meters turned from a dream into reality for many townspeople. Some were lucky enough to inherit property, others managed to build by taking out a preferential loan. What should those who were less far-sighted or simply did not wait for their turn do? It's a difficult question. Today, not everyone can afford to take on a mortgage with all the ensuing consequences. The secondary market also does not promise easy acquisitions. And loans nowadays are very "biting". We asked Marina Areshchenko, Head of the Housing Policy Department of the Vitebsk City Executive Committee, to tell us about the current situation on the housing front of the regional center and who is eligible for benefits.

— Since the beginning of the year, 29,961 people have been registered as needing housing improvement at the city executive committee. However, not everyone is eligible for state-supported housing construction (acquisition). According to Decree of the President of the Republic of Belarus No. 13 of January 6, 2012 “On Certain Issues of Providing State Support to Citizens in the Construction (Reconstruction) or Acquisition of Residential Premises”, the category of persons entitled to a preferential loan has been defined. Priority right is retained for large families; citizens living in residential premises recognized as unfit for habitation in the established manner; those who have lived in dormitories for at least 10 years and who, including separately residing spouses, do not own residential premises, including those located in other settlements of the republic; citizens whose families include children with disabilities, as well as disabled children of groups I and II; those who have contracted and suffered from radiation sickness caused by the consequences of the Chernobyl NPP disaster; adult young people who are laureates of the Special Fund of the President of the Republic of Belarus for the Social Support of Gifted Students and (or) Talented Youth; young scientists who have been awarded scholarships of the President of the Republic of Belarus; citizens entitled to receive social housing from the state housing stock.

The right to receive preferential loans in order of priority is retained for low-income veterans of combat operations in other countries; young families with two minor children; citizens who, in accordance with the legislation, have the right to priority receipt of social housing from the state housing stock; judges and prosecutors.

For military personnel, the right to receive preferential loans under the conditions established by Decree of the President of the Republic of Belarus No. 195 of April 3, 2008 is retained.

Currently, the city executive committee includes in the lists for preferential loans for the purchase of apartments in state-ordered buildings and for housing construction all categories of citizens who have an extraordinary right to receive preferential loans and are registered with the city executive committee as of August 31, 2012, inclusive.

— What is the current interest rate on preferential loans, their size, and the cost per square meter of housing?

— For citizens with an extraordinary right to build (purchase) housing and for young families — 5% per annum for 20 years. For large families — at 1% per annum for 40 years.

The amount of the preferential loan for the construction (reconstruction) or purchase of residential premises shall not exceed 90% (for large families — 100%) of the construction cost of the normalized area of the residential premises. The maximum standard cost of 1 sq. m of housing for calculating the preferential loan is set at 6.6 million rubles.

In large-panel buildings (multi-apartment, multi-story buildings made of large-panel block sections) — 6612 thousand rubles (without finishing), 8680 thousand rubles (with finishing).

— What are the housing construction plans for this year?

— In 2015, with state support (preferential loan from OJSC “ASB Belarusbank”), four houses are planned for construction in Vitebsk. Housing will not be built under state order this year.

For reference. According to the construction department of the Vitebsk City Executive Committee, a total of 31 apartment buildings are planned to be commissioned in the regional center this year in accordance with the housing construction program in Vitebsk. Among them are a 120-apartment building at the intersection of Moskovsky Prospekt and Korotkevich Street, a high-rise complex on Pravdy Street, the development of a block within the boundaries of Lenina, Chekhova, Suvorova, Griboedova streets with the placement of retail and administrative buildings in the first stage of construction, a 212-apartment residential building on Chernyakhovsky Prospekt, the reconstruction of a purchased sports hall building on Proletarskaya Street into housing, and a kindergarten on Chkalova Street.

As in previous years, the main area for multi-story construction remains "Bilevo". In 2015-2016, the construction of new houses on the site of demolished dilapidated housing in the area of Chapayeva and Mira streets will continue. The construction of apartment buildings on Leningradskaya and Gertsena streets has begun, and on Smetanina Street it is being completed.

— Many are still concerned about housing privatization. When do the deadlines expire and what are the risks?

— The deadline for the privatization of state housing is established by Decree of the President of the Republic of Belarus of December 16, 2013 No. 563 "On Certain Issues of Legal Regulation of Housing Relations". It expires on July 1, 2016. Whether to privatize or not is an individual decision. Privatization is not mandatory – it is a citizen's choice. However, it should be remembered that after the specified date, unprivatized apartments will be reclassified as residential premises for commercial use (rental housing). Citizens will pay rent for the use of residential premises. Single pensioners and disabled individuals can apply for the reclassification of an apartment as residential premises for social use. In this case, they will not have to pay rent.

When privatizing housing, re-registered nominal checks "Housing" can be used.

The cost of the acquired housing directly depends on the index of changes in the cost of construction and installation works, which is applied when calculating it. The index increases monthly, and the later a citizen applies for privatization, the higher the cost of the privatized apartment. If it is impossible to privatize the apartment at full cost, it can be done in installments. Initially, 10% of the apartment's cost is paid, and the remaining 90% is distributed in equal installments over 40 years (the specific term is determined by the citizen independently), meaning it is possible to pay a larger amount monthly, but not less than the amount determined by the installment plan. The provided installment plan is not indexed and does not change. In essence, it is an interest-free loan.

The privatization decision is valid for 1 year. During this time, it is necessary to notarize the sale and purchase agreement (privatization agreement). To do this, the notary must be provided with a receipt for payment of 10% of the privatization amount. After that, the agreement should be registered with the Vitebsk Agency for State Registration and Land Cadastre and an registration certificate and technical passport should be obtained.

— Thank you for the conversation.

Nadezhda Fondarenko, "Vitebskiye Vesti"