Loan purpose
Residential real estate acquisition
Loan type
Mortgage loan
Loan currency
AMD, USD , EUR
Loan amount
1)In case of AMD loan from AMD 1.000.000 to AMD 60 mln.
In case of USD/EUR loan minimum USD/EUR 2.000
Customer creditworthiness;
Securing the loan offered by the client,
Credit risk assessment;
The requirements of the regulatory framework set by the Central Bank of Armenia and international agreements.
In case of USD/EUR loan minimum USD/EUR 2.000
Customer creditworthiness;
Securing the loan offered by the client,
Credit risk assessment;
The requirements of the regulatory framework set by the Central Bank of Armenia and international agreements.
Annual interest rate
Fixed adjusted interest rate /
In case of mortgage loans in USD
The minimum and maximum interest rate adjustment thresholds are set as follows: `4% at the time of loan disbursement.
Loan interest rate is adjusted (after 36 months) on the adjustment date (first business day of October) each year (once).You can find the methodology of the Fixed Adjusted Interest Rate (AIR) and the adjustment procedure by following the link https://www.aeb.am/hy/917/ Fixed interest rate for the whole loan period
In case of mortgage loans in USD and EUR:
In case of mortgage loans in AMD
In case of mortgage loans in USD
| Annual interest rate | |
| Fixed interest rate for the first 36 months | 9% |
| 36 months after interest rate adjustment | AIR=8+VP VP- variable component AIR- Adjusted interest rate |
Loan interest rate is adjusted (after 36 months) on the adjustment date (first business day of October) each year (once).You can find the methodology of the Fixed Adjusted Interest Rate (AIR) and the adjustment procedure by following the link https://www.aeb.am/hy/917/ Fixed interest rate for the whole loan period
In case of mortgage loans in USD and EUR:
| Loan to pledge value ratio | USD | EUR |
| Up to 50% included | 10.5% | 9.5% |
| 50-90% included | 11% | 10% |
| Loan amount | Loan to pledge value ratio | Annual interest rate | Annual interest rate in case of purchasing residential real estate | Annual interest rate (degressive) ²՝ in case of acquiring the right of purchase |
| In amount of AMD 1.000.000 up to AMD 35.000.000 | Up to 50% included | 9.5% | 9.5% | 11% |
| 50-90% included | 10% | 10% | 11.5% | |
| From 3,000,000 Armenian drams to 35,000,000 Armenian drams for purchasing real estate in residential buildings in RA regions or energy-efficient multi-apartment building in Yerevan within the frameworks of 4th stage of Housing Finance, Refinanced by "National Mortgage Company" RCO CJSC The mortgage interest rate can be set at 1% lower interest rate. | Up to 50% included | 10.5% | 10.5% | 12.5% |
| 50-90% included | 11% | 11% | 13% |
Annual actual interest rate
AMD 12.44-14.74%
(Fixed interest rate) USD/EUR 10.62-15.05%
(Fixed adjusted interest rate) USD 7.17-14.53%
(Fixed interest rate) USD/EUR 10.62-15.05%
(Fixed adjusted interest rate) USD 7.17-14.53%
Loan term/months/
| USD | USD | EUR | |
| Fixed interest rate | 120-240 | 120-144 | 120-144 |
| Fixed adjusted interest rate | - | 120-240 | - |
Grant way
Cashless
Redemption frequency
Monthly- equally (annuitant), or
Non-equally (differential)
Non-equally (differential)
Security
Acquired Real Estate (if necessary other residential real estate)
Prepayment
| In case of crediting with own resources (USD, EUR) | In case of crediting with project resources (AMD) |
| 30% | 30% |
| 0% If, in addition to the pledged residential real estate, the borrower pledges other residential real estate, and the loan amount may not exceed 70% of the total market value of the pledged real estate | 10% a) if in addition to the pledged residential real estate, the borrower pledges other residential real estate, and the loan amount may not exceed 70% of the total market value of the pledged real estate; or: b) there is unpaid prepayment insurance in the amount exceeding 70% of the loan / collateral ratio. |
Loan to pledge value ratio
Maximum 70% of the liquidation value of the acquired real estate .
In case of AMD mortgages, the maximum loan amount can be at least 90% of the market and acquisition value of the acquired residential property if the borrower is pledged as well as other residential property purchased real estate, in the case of collateral acquired and other residential real estate, the loan amount can not exceed 70% of the total market value of the pledged real estate or the sum exceeding 70% Advance insurance coverage.
In case of granting mortgages in US dollars / Euro for residential real estate, the maximum loan amount can be at least 100% of the market and acquisition value of the residential property acquired, except for the collateral obtained from the purchased residential house or flat the mortgager is also pledged to other residential real estate, in the case of pledging the acquired and other residential real estate, the amount of the loan can not exceed the total amount of pledged real estate Today 70% of market value
In case of AMD mortgages, the maximum loan amount can be at least 90% of the market and acquisition value of the acquired residential property if the borrower is pledged as well as other residential property purchased real estate, in the case of collateral acquired and other residential real estate, the loan amount can not exceed 70% of the total market value of the pledged real estate or the sum exceeding 70% Advance insurance coverage.
In case of granting mortgages in US dollars / Euro for residential real estate, the maximum loan amount can be at least 100% of the market and acquisition value of the residential property acquired, except for the collateral obtained from the purchased residential house or flat the mortgager is also pledged to other residential real estate, in the case of pledging the acquired and other residential real estate, the amount of the loan can not exceed the total amount of pledged real estate Today 70% of market value
Commission fee
AMD 5000 for the study of the loan application which is non- refundable.
Account service fee per month- 0.03% of loan amount but not more than AMD 5.000 per month. In case of loans in USD, the account service fee is calculated in AMD at the average exchange rate of the Central Bank on the issuing day. Account service fee is rounded up to hundredfold.
Account service fee per month- 0.03% of loan amount but not more than AMD 5.000 per month. In case of loans in USD, the account service fee is calculated in AMD at the average exchange rate of the Central Bank on the issuing day. Account service fee is rounded up to hundredfold.
Withdrawal fee
0.5%
Real estate apprasial
Assessment is realized by any assessment organization licensed by RA legislation and cooperating with the Bank, according to the tariff determined by the latter -starting from AMD 20.000
Expenses related to the collateral arrangement
All the expenses related to the arrangement of the collateral (notarization, registration of the real estate in subdivisions of Cadastral territory) are made by the borrower
Notary fee - AMD 15.000-25.000
Unified reference (on restrictions against real estate) - AMD 10.000
Certificate on the registration of right to real estate- AMD 27.000-75.000
Notary fee - AMD 15.000-25.000
Unified reference (on restrictions against real estate) - AMD 10.000
Certificate on the registration of right to real estate- AMD 27.000-75.000
Acquired real estate
Residential real estate (apartment, residence house) located in RA territory
Loan arrangement is realized
“ARMECONOMBANK” OJSC head office and branches.
The loan is presented to the competent body if the applicant credited minimum 80% of the assessed liquidation value of the real estate to the account opened with ARMECONOMBANK OJSC. The credited amount is kept in the account as long as the competent body makes a decision on the loan provision or rejection.
The loan is presented to the competent body if the applicant credited minimum 80% of the assessed liquidation value of the real estate to the account opened with ARMECONOMBANK OJSC. The credited amount is kept in the account as long as the competent body makes a decision on the loan provision or rejection.
Decision period
Up to 20 business day (in case of mortgage the loan is provided within 5 business days following the receipt of collateral registration right)
Penalties
For each overdue day a penalty in the amount of 0.13% of the outstanding amount is imposed against the amounts (loan, interest, other fees) not paid within the term set forth by the agreement.
Guarantee
Real estate security is made by the customer at the insurance company licensed by RA CB, according to the tariff determined by the latter. The tariffs may vary from 0.16-0.18% of the loan balance.
Insurance for accidents of the Borrower and Co-borrowers is realized by the customer (except the co-borrowers having no income) in the insurance company licensed by RA CB, according to the tariff determined by the latter. The tariffs vary from 0.16-0.18% of the loan balance.
The annual insurance premium is calculated at the rate of 2.7% of the insurance amount (this rate applies if the client seals and reinsurance certificates with the insurance company "Sil Insurance" ICJSC, insurance against accidents of the acquired real estate and borrower / co-borrower otherwise the tariff will be set at 3%), but not less than AMD 72,000. The minimum insurance premium is valid only for the first year of insurance.
Insurance for accidents of the Borrower and Co-borrowers is realized by the customer (except the co-borrowers having no income) in the insurance company licensed by RA CB, according to the tariff determined by the latter. The tariffs vary from 0.16-0.18% of the loan balance.
The annual insurance premium is calculated at the rate of 2.7% of the insurance amount (this rate applies if the client seals and reinsurance certificates with the insurance company "Sil Insurance" ICJSC, insurance against accidents of the acquired real estate and borrower / co-borrower otherwise the tariff will be set at 3%), but not less than AMD 72,000. The minimum insurance premium is valid only for the first year of insurance.
Statement provision
Free of charge
2. These interest rates are valid for loans provided for the purpose of acquiring the right to residential real estate from the primary market: as of today, the Bank has added 0.5 percentage points to the interest rate for the purchase of residential real estate within the framework of the relevant program.
Attention!
Changes in foreign exchange rates may have an effect on loan repayments.
The USD (1USD=523.76 AMD) and Euro (1EUR=636.84 AMD) exchange rates issued by the CBA as of 21.01.2021 are the basis for the calculation of the actual annual interest rate. The actual annual interest rate may change depending on the rate of exchange published on the CBA official website.
A Co-borrower can be one or more member of the Borrower’s family.
Early loan repayment is allowed for which no penalties and fees are charged.
Proportionally reduces the amount of monthly payments by keeping the amount repaid in advance, leaving the loan repayment period unchanged, or
Reduces the loan repayment period, leaving the amount of monthly payments unchanged.
In case of non-fulfillment or improper fulfillment of the obligations set forth by the Mortgage agreement, the property pledged by the borrower may be confiscated.
The mortgage agreement shall be verified by notary.
The monthly commission fee may not be charged, if the annual interest rate of the loan is 0.5 percentage point higher than the set interest rate.
During the last 12 months, the total number of days for all loans / current and repayable / delinquent / delinquent loans should not exceed 30 calendar days.
Interest is calculated on the loan balance.
When applying for a loan, the Bank provides you with an individual sheet of the essential terms of the consumer loan, which sets out the individual terms of the loan to be provided to you.
"Your financial directory" is an electronic system that makes it easier for you to compare the services offered to individuals and find the most effective option for you. https://www.fininfo.am/compare-mortgage-loan
The bank provides the borrower with an offer to sign a loan agreement seven days before the loan agreement is signed.
The offer to sign a loan agreement is valid for seven working days (while considering), unless the offer provides for a longer term.
Floating nominal interest rate can be changed no more than twice a year.
To get acquainted with the tariffs of the services rendered within the implementation of loan operations please visit the link- www.aeb.am/media/2019/10/3044.pdf
