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Mikhail Menn on the ‘Housing for a Russian Family’ program

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Mikhail Menn on the ‘Housing for a Russian Family’ program

The construction of housing in Russia must be about 140m m2 a year.

This was announced by Mikhail Menn at the ‘Vedomosti’ conference in Moscow. The Minister reminded us that the previous year was a record one as far as putting housing in operation is concerned: 83.6m m2. But now we cannot say that everything is well with the proposed volume.

Thus the RF authorities are considering the issue of prolongation of the state program of mortgage loan rate subsidies in January and February 2016, when the first results will be clear. According to Menn, the program will stop mortgage loan volumes from falling four-fold, which has been forecast by some experts. The Minister said, “I think we’ll reach 1 trn rubles this year”.

He said that every forth flat was bought by means of this program. The Ministry of Construction, Housing and Utilities is proposing the financing of the construction of infrastructure projects via the ‘Housing for a Russian Family’ program. In 2016, a new pack of state support programs will be developed.

He remarked that regional authorities cannot currently finance the construction of the infrastructure, so there will be a new line of expenses in the ‘Housing for a Russian Family’, but the Governors will have to speak in favor of these projects in their regions. Currently, the second stage of improving the situation in the sphere of co-financed construction is being implemented; it will be completed in 2016. The third stage is meant for 2018 – 2020 and includes compulsory civil insurance for every participant.

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