2024-08-27 12:24:32
There will be more beneficiaries who will be able to acquire a residence through the “My Home 2” program as the income criteria are expanded, starting with the single person whose income will not exceed 20,000 euros from 16,000 euros that was in the previous program .
The Greek government’s discussions with the European Commission are in full progress with the aim of reaching, if not final, at least an initial agreement by the TIF, around the main axes of the “My Home 2” program.
The main goal is for the prime minister in his speech in Thessaloniki on September 7 to give more details about the program which will proceed with an expanded number of beneficiaries, income criteria and a lower interest rate.
The main aim of the “new” program is to give cheap – or even interest-free – loans to thousands of households to look for and buy a house, which will, however, meet certain specifications.
Athens’ proposal to the Commission
The proposal that the Greek side has submitted to the Commission and is under discussion provides for:
- widening the number of beneficiaries as the age limit increases from 25 to 39 years to 50 years
- broadening the income criteria of the beneficiaries by increasing the limit to 20,000 euros from 16,000 euros for the single, with a corresponding increase in the limits for couples and those with children. It is noted that in the previous program beneficiaries were those who had an annual income of at least 10,000 euros to 16,000 euros for a single person, 24,000 euros for a couple plus 3,000 euros for each child, 27,000 euros for single-parent families plus 3,000 euros for each child beyond the first. Also, they did not have a property that would cover their housing needs.
- the interest rates will be half of those offered in the market or even interest-free if they concern families with more than 3 children or single-parent families.
- the age of the property, based on the Greek proposal, does not change and remains the same as the previous program, which is at least 15 years old.
In the proposal submitted by the Greek side, it is foreseen that of the 2 billion euros calculated for the “Spiti My 2” program, 1 billion euros will be covered by the loan portion of the Recovery Fund and the remaining 1 billion euros from loans banks.
What was true in the original program
With the previous program, each interested party had the possibility to receive a “pre-approval” of the loan, without being obliged to have settled which house he will buy, but he had to “close” it within 60 days from the date of pre-approval. Potential beneficiaries could apply for and receive loans for this purchase with interest rates starting at 1.05% (after the relevant subsidy), while for the three-year-old the loan was interest-free
75% of the capital granted by DYPA was interest-free, while for those with three children and many children (and those who acquired this status during repayment) the loan was granted in its entirety without interest.
The eligible properties had to be residences of commercial value (ie the value stated in the purchase contract) up to 200,000 euros, with an area of up to 150 sq.m. and at least 15 years old, within a residential area.
Regarding the amount of the loan, it could not exceed 150,000 euros and for a duration of 30 years, while covering up to 90% of the value of the property.