Government Decree No. 249 / 2002 Coll.
Government Regulation on the conditions for granting mortgage credit contributions to persons under 36 years of age
Valid
Effective from 01.09.2002
249
GOVERNMENT REGULATION
of 22 May 2002
on the conditions for granting mortgage credit contributions to persons under 36 years of age
The Government orders the implementation of Act No. 218 / 2000 Coll., on Budgetary Rules and on the amendment of certain related laws (Budget Rules), as amended by Act No. 493 / 2000 Coll., Act No. 141 / 2001 Coll., Act No. 187 / 2001 Coll., Act No. 320 / 2001 Coll. and Act No. 450 / 2001 Coll.:
This Regulation lays down the scope and conditions for the granting of contributions from the State budget to the repayment of a mortgage credit (hereinafter referred to as "loan ') granted for the purchase of an apartment or a family house with a single apartment, or for the purchase of an apartment or family house with a single apartment, including land or corresponding parts thereof, which are purchased together with an apartment or a family house with a single apartment, and for the purchase of movable and immovable property which are located on those parcels (hereinafter referred to as" an apartment or a family house with a single apartment').
This Regulation shall mean:
(a) the applicant is a natural person requesting contributions under this Regulation;
(b) by the recipient, a natural person who has an apartment or a family house with one flat in the sole ownership or joint capital of the spouses, repaying the loan and receiving contributions under this Regulation;
(c) by the transferee, the natural person to whom the right of ownership has been transferred or transferred to an apartment or family home with one apartment and who has contracted an obligation to repay the credit to which contributions are granted under this Regulation;
(d) the contribution of an individual amount from the State budget to the repayment of the loan;
(e) by instalment for the purposes of calculating the amount of the contribution, the payment of the principal and the interest, calculated as a constant monthly instalment for the repayment period;
(f) the suspension of the repayment of the credit by the beneficiary or the acquirer of the repayment of the loan at the agreed amount and date, without prior agreement of the beneficiary or the acquirer with a bank authorised to issue mortgage liens (1) (hereinafter referred to as the "mortgage bank"), to suspend its repayment.
(1) Contributions under this Regulation shall be granted if:
(a) the applicant has not completed 36 years in the year in which the application for contributions is submitted;
(b) the applicant is not the owner or co-owner of the house, family house or apartment at the date of the application for contributions, except for an apartment or family house with one flat which has been purchased with a credit to which contributions are requested under this Regulation;
(c) at least 2 years have elapsed at the date of submission of the application for contributions
1. from the acquisition of ownership to a family house with one first owner;
2. from the acquisition of ownership to the building in which the apartment is situated by the first owner, unless it is an apartment referred to in point 3;
3. from the date of the legal power of the approval decision, if it is an apartment which was created by a change in the completed construction,
4. from the date of the legal power of the approval decision, if it is a house with apartments and non-residential premises owned by a construction contract,
(d) an apartment or family house with one apartment are located in the Czech Republic.
(2) Where an application for contributions is made for the duration of the applicant's marriage, the contributions shall be granted if the conditions referred to in paragraph 1 (a) and (b) are met by both spouses.
(1) The right to grant contributions under this Regulation may not be re-established by the beneficiary or the acquirer. For the purchase of an apartment or family house with one apartment to which contributions have been granted under this Regulation, such contributions may not be granted simultaneously to another applicant before the payment of the credit.
(2) Contributions under this Regulation may not be granted:
(a) for the purchase of an apartment or a family house with one apartment for which aid is granted under a specific legislation on the promotion of mortgage loans for housing, 2)
(b) to a loan granted by a building savings bank under a special legislature.3)
(3) Contributions are granted only to loans in Czech currency. If the mortgage loan contract contains a course hedging clause, no contributions shall be granted.
(1) A written request for contributions (hereinafter referred to as "the application") is submitted by the applicant to the mortgage bank at the earliest on the date of the conclusion of the credit agreement and at the latest on the date of the start of the use of the credit for which the contributions are requested. The application shall include the applicant's name and surname, permanent residence, birth number and, if not allocated, date of birth. The applicant must demonstrate at the same time that the conditions set out in Section 3 are met.
(2) The mortgage bank shall conclude an agreement with the applicant who provides proof of the transfer of ownership to an apartment or family home with one apartment in the property register.
(3) Contributions shall be granted to the recipient or the acquirer for the loan or part thereof intended to purchase an apartment of up to CZK 800,000 or to purchase a family house with one apartment of up to CZK 1.5 million. If the loan or part of it intended to purchase an apartment or a family house with one apartment exceeds the amount specified in the first sentence, no contribution shall be granted to the part of the loan exceeding those amounts.
(4) Contributions may be granted for the period of repayment of the credit but shall not exceed 10 years.
(1) The contribution shall be granted to the repayment of the credit provided for in the credit agreement. The allowance for the preceding month shall be transferred to the beneficiary or the transferee by the end of the following month.
(2) The monthly payment allowance shall be granted at the rate to be determined as the difference between the amount of the normal interest payment without the contributions provided for in this Regulation and the amount of the interest payment reduced by percentage points, the number of which depends on the average rate of interest on mortgage loans
(a) granted in the previous year on the basis of newly concluded credit agreements supported under this Regulation;
(b) supported under this Regulation, where the interest rate agreed with the mortgage bank has changed in the previous year;
(c) granted to natural persons on the basis of concluded credit agreements supported under the special legislation on the promotion of mortgage loans for housing construction, (2) which in the previous year had a change in the interest rate agreed with the mortgage bank.
(3) The average rate of interest will be published by the Ministry of Local Development (hereinafter referred to as the Ministry) in public information and in a remotely accessible information system. The adjustment shall be made on 1 February of the calendar year concerned and shall be at the average rate of interest:
(a) 8% and more of 4 percentage points;
(b) less than 8% and more than or equal to 7% of 3 percentage points;
(c) less than 7% and more than or equal to 6% of 2 percentage points;
(d) less than 6% and more than or equal to 5% of 1 percentage point;
where the average interest rate is less than 5%, no contribution shall be granted.
(4) The amount of the contribution referred to in paragraphs 2 and 3 shall be based on the actual maturity of the credit. If its maturity is more than 10 years, the amount of the contribution shall be based on the maturity of 10 years.
(5) If the maturity of the loan is reduced so that the new maturity is less than 10 years, the mortgage bank shall convert the amount of the contribution in the month of the change.
(6) The percentage points referred to in paragraphs 2 and 3 shall be determined for the first time on the basis of the date on which the loan was first drawn up and shall be valid for the period of validity of the interest rate agreed with the mortgage bank in the credit agreement to which contributions under this Regulation are requested but shall not exceed five years. On expiry of the interest rate of the mortgage bank, no later than five years, the new percentage points shall be determined in accordance with paragraphs 2 and 3.
(1) During the period during which the contributions are made, the apartment or family home with one flat must be owned exclusively by the beneficiary or the acquirer or in the joint capital of the recipient or the acquirer and the other spouse; during that period it must serve as a permanent residence for the recipient or acquirer. The condition of permanent residence may not be fulfilled if the purchased apartment or family house with one apartment cannot be used without building modifications, but for a maximum period of 1 year from the creation of the right of ownership of the apartment or family house with one apartment.
(2) Where the transfer or transfer of ownership rights to an apartment or family home with one apartment to which contributions are granted under this Regulation are made to another natural person, contributions shall be granted to the transferee if, on the date of the transfer or transfer of ownership rights, he fulfils the conditions set out in points (a) and (b) of Article 3 and at the same time takes over the loan's repayment obligation by contract; in the event of the death of the beneficiary or of the transferee to whom the aid was granted, its heirs in the first group4) may not comply with the condition laid down in § 3 (1) (a).
(3) If an apartment or a family house with one apartment has ceased to exist, no contributions shall be granted.
(1) The payment of contributions shall be suspended when the loan is interrupted.
(2) If the period of suspension of the loan does not exceed 6 months and if all payments for the period of interruption and the arrangement of the contractual relationship with the mortgage bank are to be completed, the suspended contributions shall be transferred to the account of the beneficiary or the transferee for the entire period of interruption but without interest for the period of suspension of the contributions, together with the payment of the contribution to the repayment.
(3) If the period of interruption of the loan does not exceed 6 months and if a contractual relationship with the mortgage bank and the beneficiary or the transferee of the contributions starts to be settled again, but does not complete all the instalments, or if the period of interruption exceeds 6 months, the mortgage bank shall proceed to calculate the balance of the loan at the date of the interruption of the loan and to determine the remaining number of periods for the payment of the contributions, but no later than 120 months after the first instalment after the end of the drawing. For the period of interruption of the repayment of the loan, no contributions will be granted to the beneficiary or acquirer.
(4) The contributions calculated in accordance with paragraph 3 shall continue to be granted for the remaining period of repayment of the credit but shall not exceed the 100th month of the grant.
(5) In the event that the repayment of the loan is interrupted as a result of an inheritance procedure, the total duration of the contribution may be extended by the corresponding interruption of the loan; However, the number of payments shall not exceed 120.
(1) In order to ensure the provision of contributions under this Regulation and to ensure the evidence of compliance with the conditions for granting such contributions at the date of application, the Ministry shall conclude a contract with the mortgage bank.
(2) The mortgage bank shall submit its accounts to the Ministry for the last month of the following month; the particulars of the bill and the date of its submission shall be determined by the Ministry.
(3) The Ministry will report monthly funds to the mortgage bank on the basis of the bill submitted.
(4) The Ministry pays the mortgage to the bank effectively incurred costs associated with the provision of contributions, but does not pay the additional costs associated with the interruption of the repayment of the loan pursuant to § 8.
Specific legislation shall apply to the monitoring of compliance with the conditions for the use of contributions granted under this Regulation and the application of penalties for the unauthorised use or retention of such contributions. 5)
(1) In 2002, the average rate of interest referred to in Article 6 (2) shall be calculated on the basis of the volume of loans granted to natural persons under credit agreements supported under the special legislation on the promotion of mortgage loans for residential construction2) in 2001.
(2) Applications for contributions under this Regulation submitted before the date of entry into force of this Regulation shall not be taken into account.
This Regulation shall enter into force on 1 September 2002.
Prime Minister:
Ing. Zeman v. r.
Minister for Local Development:
Ing. Lachnit, CSc.
1) Paragraph 14 of Act No. 530 / 1990 Coll., on Bonds, as amended by Act No. 84 / 1995 Coll. and Act No. 368 / 2000 Coll.
2) Government Decree No. 244 / 1995 Coll., laying down the conditions for State financial support for mortgage lending of residential buildings, as amended by Government Decree No. 276 / 1996 Coll., Government Decree No. 70 / 1998 Coll. and Government Decree No. 226 / 1999 Coll.
3) Act No. 96 / 1993 Coll., on Construction Savings and State Support of Construction Savings and Addition of the Czech National Council Act No. 586 / 1992 Coll., on Income Tax, as amended by the Czech National Council Act No. 35 / 1993 Coll., as amended by Act No. 83 / 1995 Coll.
4) Paragraph 473 (1) of the Civil Code.
5) Sections 39 and 44 of Act No. 218 / 2000 Coll., on Budgetary Rules and on the Amendment of Certain Related Acts (Budgetary Rules), as amended by Act No. 187 / 2001 Coll. and Act No. 320 / 2001 Coll. Act No. 320 / 2001 Coll., on financial control in public administration and amending certain laws (Act on financial control).
Sign in for notes, favorites and notifications
Regulation Information
| Citation | Government Decree No. 249 / 2002 Coll., on the terms and conditions for granting mortgage credit contributions to persons under 36 years of age |
|---|---|
| Regulation Type | - |
| Author | - |
| Collection | Code of Laws |
| Date of Promulgation | 25.06.2002 |
|---|---|
| Effective from | 01.09.2002 |
| Effective until | - |
| Status | Valid |
The regulation text is for informational purposes only.
Comments 0