According to the legislation currently in effect in Ukraine (Law of Ukraine “On financial and credit mechanisms and property management during housing construction and transactions with real estate”, valid since 01.01.2004) JSC SCB "Dnister” is engaged in a number of construction projects in cooperation with the Construction Financing Fund.
Participation conditions are defined by the Regulations of the Construction Financing Fund. The manager of the funds (administrator of costs) is “Dnister” Bank.
You have an opportunity to purchase housing by means of participation in the Construction Financing Fund – by becoming its Settlor. The Construction Financing Fund acquires rights of the Administrator of costs.
In this case, you as a buyer:
- will not have to worry about the quality and terms of construction – the Fund controls high-quality and timely fulfillment of the obligations by the constructor;
- will not have to worry about the registration of the ownership rights to the house - the Fund will do it at its own expense;
- will not have to pay extra for the part of the housing which has already been paid by you, in case of a housing price rise;
- will be entitled to open a credit line at “Dnister” Bank on beneficial conditions with a fixed schedule of paying money to the Fund.
The Fund is responsible for observing the legislation of Ukraine in the part of implementation of construction works, property management during the construction of housing and other real estate, Civil Code of Ukraine and other legislative acts.
Construction works are insured by the constructor against:
- risks of damage or destruction of the building as a result of man-caused catastrophes and natural disasters.
Terms of purchase of housing through the participation in the Construction Financing Fund:
- the Fund’s settlor pays to the Construction Financing Fund the sum of the housing value according to the fixed schedule ;
- down-payment is30% of the housing value;
- the last contribution is to be made no later that 3 months prior to the building’s commissioning;
- registration of the buyer’s right of ownership for the housing is made upon the building’s commissioning.
“Dnister” Bank can open a credit line for the Fund’s settlor for the purpose of payment of installments on the following conditions:
- credit line is opened in hryvnas or USD for up to 75% of the apartment value;
- re-payment of credit will be done according to the schedule of payments to the Construction Financing Fund;
- credit interest rate and duration are defined in the credit agreement;
- interest is calculated for the residual sum of credit;
- payment of interest – on a monthly basis;
- re-payment of the main sum – upon the building’s commissioning;
- credit security is represented by property rights for housing under construction.
The mortgaged property is insured by the Insurance Company “Renaissance”.
The property is insured against:
- fire, lightning, gas explosion;
- natural disasters, namely: whirlwind, hurricane, storm, landslide, mudflow, flood, freshet, heavy shower, floor convergence, flooding by subterranean waters, earthquake;
- damage caused by water from water supply, sewerage and heating systems, flooding by water from neighboring premises;
- illegal actions of third persons.
Insurance rate depends on the property’s category, its technical, maintenance and other characteristics. | 
