The project on issuing housing certificates to orphans passed the 1st reading

© Igor Samokhvalov/PG

Persons from among orphans and children left without parental care want to provide a certificate for the acquisition of residential premises in the property or for the repayment of a mortgage. The corresponding bill of the Cabinet of Ministers of the State Duma adopted in the first reading on March 21.

The document was developed to reduce the time it takes to provide housing for orphans who have reached the age of 23 and have been successfully socialized in society, said Andrei Korneev, Deputy Minister of Education.

“The main innovation is the possibility for the constituent entities of the Russian Federation to provide orphans with housing not only by actually providing apartments in a specialized housing stock, but also by providing a payment certified by a certificate,” the deputy minister said.

Such a payment, according to him, can be used to purchase a residential property or to fully repay a loan, a loan under a mortgage lending agreement. “This will speed up the process of providing housing, as it will avoid lengthy competitive procedures and expand the possibilities when looking for an apartment,” said Korneev.

To protect against fraudulent activities in relation to orphans, the payment will be sent directly to the accounts of apartment sellers or to the accounts of credit institutions in the event of repayment of obligations under a loan mortgage agreement.

At the same time, the sale and purchase agreement will be preliminarily agreed upon by the authorized executive body of the subject, as well as the alienation of residential premises owned for less than three years. “The relevance of the bill is confirmed by the fact that regional acts of 35 constituent entities of the Russian Federation are already implementing a similar support measure. The demand for a certificate in these regions is very high,” Korneev said.

It also provides for a reduction in the term of the contract for hiring specialized housing for orphans from 5 to 3 years. “This is being introduced at the numerous requests of citizens – practice has shown that the current norm, which provides for the obligation to live for 5 years in a residential building without the opportunity to improve their living conditions or move to another region where there is an opportunity for employment, seriously limited the opportunities for orphans,” said Korneev.

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