Consider the main directions in which the process of innovation.
Until the planned date of commissioning of the house, the borrower is obliged quarterly, no later than the 10th day of the month following the last month of the settlement quarter, to pay interest on the loan, calculated by the formula:
B = (Zzabr P / 100 r N / 365) Or / Oo,
where: B – the amount of interest on the loan payable by the borrower, calculated on the date of payment (in UAH);
Zzab – the balance of debt on the loan (in UAH);
P – interest rate for using the loan in accordance with the Loan Agreement;
N – the number of days for which interest is accrued;
Or – the rate "One" on the day of payment of interest for the use of credit;
Oo – the course "One" on the day of the loan;
Buying a home under this scheme for payments for 5 years, the buyer pays a loan of 55% to 70% of its present value.
This model has a number of significant advantages, as it allows not only to mobilize financial resources for housing construction of this company, but also provides information about the client, his solvency and willingness to fulfill obligations, which in the absence of credit histories of Ukrainian citizens is extremely important. Moreover, in the absence of widely available housing loans in Ukraine, such a model is very interesting.
At the same time, such attraction of extra-budgetary funds in the housing sector on the basis of mortgage elements has a number of significant shortcomings:
First, it, in contrast to a full-fledged mortgage, limits the choice of the borrower. The borrower is offered housing produced only by "Kyivmiskbud". Secondly, such a model, like any target model, limits the amount of funds raised to the amount of savings of depositors interested in obtaining housing loans, and does not cover the savings of the rest of the population and the free financial resources of legal entities … However, it should be noted that on the basis of "Kyivmiskbud" it is planned to conduct an experiment, the essence of which is to attract funds from the population and businesses for long-term pension savings. Third, the insignificant term of the mortgage increases the amount of the loan fee, thus making it less accessible to the citizens of Ukraine. Fourth, the general economic situation in Ukraine is forcing the specialists of JSCB "Arcade" to introduce a special indicator "One" which increases the loan fee. Fifth, Arcade Bank does not apply flexible, understandable to the borrower interest rates that provide borrowers with greater access to credit.
The company "Housing – Credit – Ukraine" offers its housing loan scheme for a period of 5 years. The company recruits a group of 60 people (in general, the scheme involves recruiting a group of 120). For 5 years (60 months) the members of the cooperative must pay monthly equal contributions, calculated from the average annual cost of one-, two- and three-room apartments. In addition, customers pay entrance fees of 3% of the cost of housing when buying a one-room apartment, 2.5% – a two-room apartment, 2% – a three-room apartment. Upon receipt of the apartment must pay the company another 1%. Every month 0.25% of the value of the apartment is paid for the company’s administrative expenses. As a result, the total additional costs of the client are:
3% + 1% + (0.25% r 60) = 19% in five years.
Housing will be distributed through an auction and a draw with a monthly alternation of these two forms. After moving into the apartment, the client continues to pay contributions until full repayment of the cost of housing.
How safe the scheme is for the members of the cooperative, who receive apartments last, is difficult to assess today: none of the "buyers’ clubs" has reached the logical end of its existence.
A comprehensive analysis conducted by the author  shows that lending for the purchase of housing on the principle of self-help in Ukraine throughout its history has not been widely developed.
Zaporozhye corporation "Arsenal" is developing a scheme to purchase housing on credit in the secondary market. Experts believe that in the regions the secondary market is more promising than the primary: – the cost of 1 sq. Km. m. lower. After attracting a Western loan, the company will operate according to this scheme. The buyer, choosing a real estate object, pays 30% of its value (the seller receives the entire amount at once). The loan provided to the buyer is repaid within 3-7 years at a loan interest rate of not more than 20% per annum .
Time will tell how real such a scheme is, but the fact remains that the Western investor is very cautious about lending for the purchase of housing on the Ukrainian market.
The Yaroslavl branch of the Mortgage Joint-Stock Bank was the first bank to try to implement an investment mortgage model in the post-socialist economies. Using a rather complex organizational and legal form due to the lack of appropriate regulatory framework (1995), this bank ultimately provided mortgages for housing at the expense of funds raised from the sale of mortgage certificates secured by real estate. The organization operating in the secondary market of mortgage loans was the Mortgage Credit Company, which intermediated loans from the bank and distributed mortgage certificates secured by collateral .
The ability to sell mortgages to investors would allow banks to solve the problem of limited resources. The creation of a nationwide mortgage lending system, which would include the functions of the secondary mortgage market, could stimulate the growth of housing mortgage lending, which requires serious action by the government.
AS to repay a significant portion of the cost of purchased housing.
Consider the main directions in which the process of innovation.
Credit risk. In countries with developed mortgage lending, the lender, in the event of the borrower’s inability to repay the loan, incurs losses if the amount earned from the sale of real estate is less than the unpaid portion of the debt, including interest and all costs associated with foreclosure and mortgage property.
In Ukraine and Russia, credit risk, ie the possibility of losses due to non-repayment of the loan, increases significantly due to the complexity of the recovery and sale of mortgaged property. And although the existing legislation provides for the possibility of reversal of recovery on the collateral and meet the requirements of the pledge, the inconsistency of the legislation itself and the established practice, often make the eviction of the debtor impossible.
Only a very small number of banks actually provide mortgage loans, concluding a loan agreement with the borrower and a mortgage agreement (collateral) that secures it. In most cases, a mortgage agreement, or collateral agreement, is used when lending to well-known bank customers or in cases where the construction company together with the bank are part of one holding (an example is the holding company "Kyivmiskbud").
It is obvious that for mortgage lending, the possibility of depriving the borrower of the right to mortgaged property and eviction from the home if he does not make his payments becomes of fundamental importance.
Providing long-term loans with a fixed interest rate is almost impossible today. This is either too risky for the bank, or, if the risk is fully taken into account in the rate, is not available to the borrower. In this situation, banks in Russia and Ukraine, which provide housing loans, seek to reduce interest rate risk by using new credit instruments. At the same time, loans with indexation of payments at the exchange rate of the ruble and hryvnia to the dollar became the most widespread.
According to common practice, the borrower is given a ruble loan in US dollars (actually a dollar loan, issued in ruble equivalent). The amount of the monthly payment to repay the loan is calculated in dollars and can be paid in rubles at the current exchange rate.
Being quite simple and familiar to both bankers and customers, the tool with indexation at the dollar rate does not eliminate the real risk of interest rates, which is evident when the real dollar falls. With the dollar depreciating, the value of assets actually denominated in dollar loans may fall relative to the value of bank funds submitted by ruble-denominated liabilities that finance these loans. The possibility of losing the lender is growing.
Banks take this risk into account by increasing the interest rate premium on such loans. As a result, the interest rate on housing loans in dollar terms is often 30% and above, which greatly limits the range of potential customers.
The original indexed loan scheme was developed by the Yaroslavl branch of the Mortgage Joint Stock Bank. It was based on the procedure of uniform monthly repayment of the principal amount with payments of a fixed interest on the remaining debt.
However, the amount of debt itself is revised whenever the official minimum wage changes, ie the minimum wage index is used as an index. The annual interest rate on such a loan is relatively small and is 26% (1996).
Russia has developed a tool with regulated deferred payments – IROP. The use of IROP involves the application of two interest rates. One interest rate should ensure the profitability of credit operations for the bank, and the other – to make the loan available to the borrower.
The first rate, the higher one, is called the "contractual rate" and determines the amount of payment that will make the loan profitable for the bank and which the client would have to pay to the bank in principle. The amount of this interest is regularly calculated on the interbank credit market plus a fixed bank margin.
However, in reality, the borrower makes regular monthly payments on the loan at a fairly low rate, which is called "payment". The difference between the amount of payment that the customer owes the bank at the contractual rate and the fact that he pays at the payment rate is regularly added to the amount of the borrower’s principal debt.