New opportunities are opening up for pensioners in Armenia. In particular, the state introduces the institution of reverse mortgage, according to which the pensioner can hand over his house to the bank and receive a monthly amount until the end of his life. What conditions will apply, how will that monthly amount be calculated, how will pensioners be protected, what guarantees will apply? to these and other questions “Armenpress”Nane Ghazaryan, Deputy Head of the RA Cadastre Committee, spoke at the press conference held in
“Reverse mortgage is a new type of credit agreement that has clear regulations. Citizens of retirement age, if they own a residential building and wish to receive credit, they will be able to mortgage their property and receive regular payments from the bank and credit organization,” said Nane Ghazaryan.
According to him, this will be a source of additional income in the form of stable payments, the citizen will not lose his place of residence, the right to an apartment.
“In other words, the citizen will continue to live in his house, as before. During that time, the bank will not be able to manage it or carry out any transaction related to the property. And every month the bank will provide a certain amount. As long as the citizen is alive, the bank cannot manage the property,” said Nane Ghazaryan.
After the citizen’s death, if the heirs want to repay the amount paid before then, that opportunity will be given and there will be an option to take back the real estate. If not, the property will go to the bank. As for the amount of money regularly paid to the owner, Nane Ghazaryan mentioned that it depends on the value of the property and its location.
Nane Ghazaryan emphasized that this is not a mandatory condition, but an opportunity for pensioners. They can apply to banks only if they wish. The latter, being flexible, will present different proposals, and the citizen can choose.
The project is in the National Assembly, in case it is adopted in the planned manner, citizens can practically use this opportunity from January 1, 2027.
The state also introduces the institution of the husband’s exclusive property right. According to the current regulation, the property acquired during the marriage is considered the common joint property of the spouses. After the death of one of the spouses, half of the property belongs to the surviving spouse, and the other half is included in the inheritance and distributed among the heirs determined by law. According to the proposed regulation, the spouses will have the opportunity to give the property a special status by mutual agreement, which will be registered in the Cadastre Committee as the exclusive property right of the spouse. After the death of one spouse, the surviving spouse will have the opportunity to become the sole owner of the property. The property will be included in the inheritance mass only after the death of both spouses.
