Government plans new housing campaign

The government is working on a new plan to help people buy existing homes, Environment and Climate Change Murat Kurum has announced.

Kurum recalled that the "My New Home Program" announced last week is designed to provide cheaper loans to middle-income groups but the new project will provide opportunities for people to buy existing houses.

The minister, however, did not provide other details on the planned project.

Some 100,000 houses will be sold in 81 provinces under the "My New Home Program" and applications from potential homebuyers will start to be collected from Jan. 16.

The mortgage loans with amounts up to 5 million Turkish Liras ($266,800) will have up to 15 years of maturity, and rates will start from 0.69 percent for new houses, not existing dwellings.

The contractors' contribution to the project will be around 5 percent, while the Treasury and Finance Ministry will provide support to people for the monthly payments in the first three years, Kurum said.

Depending on the demand, the number of houses to be sold under the program can be increased, he added.

The government will not allow price increases during the campaign, Kurum said.