In Azerbaijan, potential adjustments to the maximum amount for mortgage loans will be contingent upon evolving market trends, according to officials. The Mortgage and Credit Guarantee Fund (MCGF) continues to monitor the real estate sector to ensure its lending policies remain effective and accessible.
As reported by the Operative Information Center-OMM, Rasim Abdullayev, General Manager of the Mortgage and Credit Guarantee Fund, stated that the organization's primary objective remains ensuring accessibility for middle- and low-income families.
"Currently, our main goal is to ensure that middle- and low-income families and our citizens have access to this mechanism. For this reason, the Fund maintains the maximum mortgage loan amount at 150,000 manats," Abdullayev said. He noted that while commercial banks offer internal mortgage programs for higher amounts, the Fund's mandate is to utilize state budget resources and attracted funds to assist the maximum number of citizens in securing housing. "We are constantly monitoring and keeping an eye on market trends in this direction," he added.
Addressing the possibility of raising the limit, the official emphasized a cautious approach. "If a necessity arises, the issue of increasing the maximum loan amount can be reviewed. However, it must be taken into account that taking out a 150,000 manat loan is a significant financial obligation in the long term. Currently, the average monthly income of citizens benefiting from the program is 2,100–2,200 manats, with an average family size of 3–3.5 people. Under these circumstances, the maximum amount citizens can utilize is currently 150,000 manats," he explained.
Abdullayev further warned that prematurely announcing an increase in loan limits could trigger market speculation and drive up real estate prices. "We approach this issue very cautiously and consider it appropriate to take relevant steps only when a real necessity arises," he concluded.
The Mortgage and Credit Guarantee Fund of the Republic of Azerbaijan plays a pivotal role in the country's social policy by providing affordable housing solutions. Established to support the development of the mortgage market, the Fund facilitates long-term financing for citizens, thereby contributing to the improvement of living conditions and the stability of the national real estate market.
