Under the new conditions the minimum maturity period is extended from 7 to 20 years and the maximum amount of loan has been increased to be 60% of the value of the subject of mortgage. In addition the requirement to submit two collaterals has been cancelled. Now a client can submit only one residential unit as collateral.
The key advantage of the product as compared with consumer loans is the absence of the lending ceiling which now depends only on the submitted collateral.
“Improving the conditions of the “Consumer Loan against Property” product we provide better opportunities to our clients and make our product more attractive and accessible”, commented Georgy Ter-Aristokesyants, Director of the Mortgage Credit Department of the Bank of Moscow.