MNB extends FGS credit to construction of homes for sale
The National Bank of Hungary (MNB) changed its Funding for Growth Scheme (FGS) to give companies access to cheap credit to build homes for sale, not just for rent, the central bankʼs managing director said at a conference yesterday.
Márton Nagy told the conference, organised by business portal napi.hu, that companies would be allowed to buy resale residential parks with FGS credit, too, but only with the purpose of using the homes as rental properties.
FGS credit will be available to general contractors building energy efficient homes as working capital loans, while residential property operators can tap the credit in the form of investment loans, he added.
The MNB announced a week earlier that it would expand the FGS and its spin-off FGS+ to include the construction of green homes.
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