What is Urban Transformation Loan and How to Get It?
Urban transformation loan is a bank loan that can be used by people who want to rebuild their residence or workplace, which is determined to be a risky structure. According to Article 7 of the Law on Transformation of Areas Under Disaster Risk No. 6306, interest support is given to this bank loan used by people who want to renew their residence or workplace within the scope of urban transformation.
What are the Urban Transformation Loan Terms?
Rental aid or interest support is provided by the state to real estate owners and tenants in urban transformation. It is possible to benefit from only one of these aids. Persons who do not request rental assistance can benefit from interest reductions on urban transformation loans they will receive from banks. Urban transformation loan, which can only be used in TL, can be given for a maximum of 10 years for residences and up to 7 years for workplaces. Persons using urban transformation loans; It is also exempt from notary fee and bank insurance transaction tax.
What are Urban Transformation Loan Interest Rates?
In the urban transformation loan to be obtained with government support, 4% interest discount is applied for residences and 3% for workplaces. Higher interest deductions are made for buildings with high energy efficiency. If the energy class written on the energy identity document is B, 4.5% interest discount is applied, and if A, 5% interest discount is applied. In workplaces, 3.5% interest discount support is given if the energy class is B and 4% if it is A. However, the interest discount support of those who do not make their loan payments is stopped.
How Much Urban Transformation Loans Are Given?
The maximum amount of loan usage supported by interest reduction is 200 thousand TL. People with more than one flat or workplace can use a loan of up to 1 million TL for each real estate.
How to take credit for urban transformation?
After the evacuation of the building, which is determined to be a risky structure, a loan application must be made to the bank within 1 year. The bank evaluates the application and approves the loan. Then, the bank requests the approval of interest support by sending the information of the person applying for the loan to the Ministry of Environment and Urbanization. After the loan approval is received from the Ministry, the loan is used.
