Russian government will consider the idea of purchasing real estate for retirement savings

The Government of the Russian Federation received a proposal to use the funds of pension savings for the purchase of housing and land plots by Russians, as well as the implementation of construction plans.  The initiative was announced by major realtors, who hope to support the demand for real estate in this way.

The idea is that a specially created large federal operator would deal with the issues of providing pension accruals of Russians at a small percentage, by analogy with a mortgage agreement.

The payment period may last up to two decades or may last until person reaches retirement age. The authors of the initiative propose to set a reduced interest rate of 4-5%.

The positions of experts on this issue are divided. Some believe that the initiative will be in demand and will help support the falling demand for real estate, as well as increase the affordability of housing for Russians. Others are of the opinion that it may be difficult to withdraw pension savings from the system. After all, part of the funds is used to pay pensions to today's pensioners. In addition, the withdrawal of assets, as well as their subsequent use, can lead to a rise in the cost of the functioning of the system itself, Izvestia reports.

It is known that at the moment, the government has already sent the initiative for consideration to the Ministry of Finance and the Ministry of Construction.