Government secures 30-year mortgages for young families by freezing credit margins
The Moldovan Government has officially maintained the maximum interest rate margin for the "First Home" (Prima Casă) state-guaranteed loan program at 3% for 2026.
The decision, finalized on December 29, is designed to balance bank operational costs with affordable borrowing. This measure ensures that citizens can continue to access mortgage loans with repayment terms of up to 30 years.
Ensuring housing predictability
According to the Ministry of Finance, setting this annual cap provides a predictable framework for beneficiaries. The policy specifically targets young professionals and families, helping them secure housing through state-backed credit guarantees.
"We kept the margin at 3% because any further reduction could actually limit citizen access to credit," stated Finance Minister Andrian Gavriliță.
Preventing shorter loan terms
Gavriliță explained that a lower rate might have forced banks to shorten the maximum loan duration. By maintaining the current level, the government ensures that borrowers can still distribute their payments over a full three-decade period.
The "First Home" government program was originally launched in 2018 to stimulate the domestic real estate market and reduce the migration of young citizens by offering more accessible housing finance options.
Translation by Iurie Tataru
