Geoana: First House project implementation not efficient

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Social Democrat president Mircea Geoana said during a visit to Ramnicu Valcea (northwest of the capital) on Thursday that the intentions of those who conceived the First House programme were honest and sincere, but unfortunately the project implementation is not efficient.

‘We’d have liked to have programmes that should boost the building of new houses and flats for the young people to stay there on subsidised rent, given they currently have no possibility to make a bank loan.

This project would have encouraged the industries, would have developed the factories making construction materials, double-glaze windows, flooring and tiles and it would have created jobs implicitly’, the leader of the ruling coalition partner said.

The Government has assigned one billion euros to guarantee the mortgage lending under the First House programme. The persons interested in contracting such a credit should put a down payment of 5 percent of the acquisition price, if it does not exceed 60,000 euros.

The banks that extend mortgage loans under the First House programme can apply a margin of no more than 4 percent per annum above the three-month EURIBOR interest for the euro lending and no more than 2.5 percent per annum above the 3-month ROBOR interest to the national leu currency lending.

The First House programme kicked off on July 15.

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