The End of the “Prima Casa” Program?
Funds for the “Prima Casa” (First Home) program are nearly exhausted. Brokers state that banks could run out of funds for this type of loan by next month, while the Government has yet to signal any additional allocations. Furthermore, the Governor of the National Bank of Romania (BNR) stated that authorities must closely monitor this program, as it contributes to the growth of real estate lending, which needs to be kept under control.
For those who have already managed to purchase a home, the “Prima Casa” program has been a reliable support. The lower down payment compared to a standard loan and the reduced interest rates caused the number of “Prima Casa” loans to rise by 40% in the first six months, compared to the same period in 2014.
This year, most “Prima Casa” loans were granted in Bucharest and Ilfov, accounting for over 42% of the total. From 2009 to the present, a total of 148,500 loans have been granted.
Source: Imobiliare.Net
Frequently Asked Questions
Is the Prima Casa program ending?
Funds are currently running low, and without new government allocations, banks may stop issuing these loans as early as next month.
What are the main advantages of Prima Casa?
The program offers a significantly lower down payment and more favorable interest rates compared to standard mortgage loans.
How many people have used the program so far?
Since its launch in 2009, approximately 148,500 loans have been granted through the Prima Casa program.