GARANTIQA OFFERS GUARANTEES FOR HOUSING COMMUNITIES

Garantiqa Hitelgarancia Zrt. is now also providing guarantees to long-term loans of condominia and housing communities. By using the new product of the company, the condominia can reach development loans with more beneficial conditions, for example in the case of energy-saving investments. Garantiqa can undertake a guarantee for maximum 80% of the loan amount (plus interest).

Garantiqa Hitelgarancia Zrt. has published its new Business regulations, thereby allowing the issuance of guarantee services to condominia and housing communities from now on. The essence of this is that the company can undertake a surety for a part of the loan of condominiums requiring funds, and the banks can give loans to the condominia with better conditions, than without this scheme. According to the study that preceeded the introduction of the new service, the company can give guarantees to condominium and housing community loans for an amount of 1-2 billion HUF yearly, if the worst-case crisis scenarios come into effect. In case of more beneficial conditions with the prevalence of existing state subsidies, it can contribute to a loan uptake of 4-5 billion HUF.

Garantiqa can give a guarantee of 80% of the principal (increased by interests and affixes paid as interests) in case of housing communities. The Business regulations do not specify any minimal loan amount, therefore it is rewarding for the bank to turn to Garantiqa even with a smaller loan guarantee request.