The mobilization bill incentivizes joining the army with housing loan privileges

According to a new draft law aimed at tightening mobilization in Ukraine, servicemen who sign their first contract with the Armed Forces of Ukraine are entitled to compensation of 50% of the initial payment on a housing loan. Additionally, they are promised an additional payment of 100,000 hryvnias (approximately 2,361 euros) after the first year of service and the same amount after the second year.

The draft law specifies that these payments are provided by the state company “Ukrfinzhytlo.” The document refers to benefits under the state mortgage program “єOselya,” which is serviced by the mentioned company.

According to the basic terms of the “єOselya” program, the borrower must make an initial payment amounting to 20% of the housing cost, the maximum loan term is 20 years, and the interest rate for servicemen is 3%. Additionally, the borrower is required to insure the purchased property.

The right to preferential mortgage is granted only to those who do not own housing, or those who own real estate with an area of no more than 52.5 square meters per family member, plus 21 square meters for each subsequent member.

It is obvious that by compensating half of the initial payment (which is a significant benefit), Ukrainians are encouraged not to evade mobilization and to enlist in the army. However, this provision will require considerable expenses from the budget if there are tens or hundreds of thousands of military personnel interested in taking advantage of the preferential mortgage.

Meanwhile, consideration of the draft law on mobilization has already begun in the Verkhovna Rada, as announced by People’s Deputy Alexey Goncharenko.