The most active in the state-owned financial institution "Altum" housing first-term guarantee program opportunities are used in Riga and Pieriga, while the smallest number of transactions in Latgale is. This sector is explained both by low wages in regions & by lower house prices.
Altum supports the program in the form of a guarantee for a bank loan for the purchase or construction of housing for families with children and young professionals with a fixed income, but not sufficient provisions for the first drive. So far, 9100 families with children and 500 young specialists have received state guarantees. The total amount of guarantees granted to date amounts to EUR 67.5 million.
Within the framework of the "Altum" program, both families with children and young specialists usually opt for buying homes in Riga or Pieriga. In the region & # 39; s less is the lowest activity however in Latgale – only 3% of the total number of guarantees granted.
"More than three and a half years in Latvia there are 9,100 families with children supported, while in Latgale only 243 families live.When the average guarantee amount in Latvia is seven thousand, Latgale has 2.8 thousand.The required guarantee in Latvia is 60 thousand euro, and in Latgale – 23 thousand euros In turn, five young specialists were supported in Latgale for a period of five months, but in Latvia this is a total of 500, "says Vita Pučka, head of the Latgale region, Altum.
One of the reasons why Latgale uses the housing guarantees so badly can be a lower real estate price. "If the costs are lower, smaller guarantee amounts are required, so you may use your own or your family money to cover the first part of a loan," Altum explains.
The real estate market is not mentioned specifically for employees in the sector. Increased house prices, the number of offers is not wide. Property valuation specialist in Rezekne explains that the prices have recently increased and this is due to a lack of good offers. Good apartments are above market value.
Low wages are also mentioned as an important reason why the inhabitants of Latgale make use of the loan possibilities for housing.
This is confirmed by the information provided by commercial banks. Latgale has a relatively small number of mortgage transactions when buying residential properties, says Māris Saulājs, head of the credit support department at SEB banka.
According to data from the Central Bureau of Statistics for the first quarter of this year, the average wage "on paper" in Latvia is 961 euro, in Riga – 1 085 euro and in Latgale – 671 euro.