Credit subsidies: who is right? Minister of Development asked about specifics
Will the money for subsidies for loans be included in the budget or is the Minister of Funds Katarzyna Pełczyńska-Nałęcz right when she triumphantly announced recently that the announcements of subsidies will be the end? The Minister of Development Krzysztof Paszyk assured that the expenditure on 0 percent loans has already been preliminarily written off. “In the first year of the program’s operation, it will be around PLN 500 million,” he said on Tuesday.
Expenditures for the 0 percent loan have already been initially planned; in the first year of the program’s operation, they will amount to approximately PLN 500 million, Minister of Development and Technology Krzysztof Paszyk said on Tuesday.
0% credit. The minister assures that there is money
Will the money for loan subsidies be included in the budget or is the Minister of Funds and Regional Development Katarzyna Pełczyńska-Nałęcz right when she recently triumphantly announced that the announcements of subsidies will be the end?
Minister of Development and Technology Krzysztof Paszyk was asked about this on Tuesday on TVP Info.
– In my opinion, the amount allocated for housing in the budget for next year will also be enough to implement the credit program, i.e. a program that will allow many Poles waiting to buy an apartment to face the most expensive credit in the EU, which Poland has – replied the minister.
He added that the average interest rate on a home loan is 8 percent.
– If we reduce the interest rate from 8 percent to 5-4 percent, then very often the cost of the monthly installment is 800-1200 PLN less. This is the goal of this project – emphasized the minister.
“Start-up loan” also for singles
Paszyk assured that the expenditure on the 0% loan has already been initially planned.
– The first year of the credit program is about PLN 500 million. In subsequent years, this will of course increase, but it is not an amount that dominates the budget for housing – informed the minister.
Paszyk also announced that after Wednesday’s meeting of the Economic Committee of the Council of Ministers, it will be possible to say “to a large extent” who will be able to benefit from this program. He also referred to the question of whether there will be a limit on the square footage of an apartment that can be purchased under the 0% loan program.
– This is the subject of agreement today – he informed.
He indicated, however, that the program will be available to singles, and that it will also be possible to buy an apartment on the secondary market with a subsidy. Asked about the age limit of people who will be able to benefit from the subsidy for the loan, the minister said that “we are talking about an age limit of 35, but these are details that can still be shaped at this stage of work.”
“Fuses” in the loan subsidy program
The Minister was also asked about “safety devices” in the subsidy program that would prevent an increase in housing prices caused by the supply of money from loans.
– We have quarterly limits on granting aid, which means we are counteracting the kind of demand peak that previously caused an increase in housing prices – said the minister. – There will definitely not be entire annual tranches, it will be limited, for example, to quarterly limits on applications that will be considered, so then we will stabilize and spread the amount of money that will reach the market over time to prevent a demand peak – he noted.
