“And if you take the U.S. experience there is important element, stimulating the individual to rent housing to rent. First is high taxes. Quite expensive to have a property and not to dispose of it. And so property becomes a liability, and to become an asset, it is necessary to lease,” — said Shvetsov, speaking at the St. Petersburg international economic forum (SPIEF). Now in Moscow is increasing taxation for apartments, “it will encourage citizens to rent housing,” he added.
According to him, citizens who want to rent an apartment to rent, can pass on their management companies. Now on the rental market of real estate does not have enough trust, he added. Shvetsov believes that the collective funds will be more profitable for individuals. After people give apartments to the management company, “averaged and decreases the period when the apartment is not for rent”.
First Deputy Prime Minister Igor Shuvalov, speaking at the SPIEF said that the government by the end of the year could provide tax benefits and deductions to encourage the development of rental housing market. “We will be able to provide certain tax breaks and deductions. We will do and we expect the Ministry of construction and Ministry of Finance make the appropriate proposals for legislation”, — TASS quotes Shuvalov.
According to Shuvalov, it is possible to use the legislative structures that are in the USA and other countries. “It will have to do and the sooner the better. I think that before the end of the year it is necessary to take such decisions”, — he said.
Thus Shuvalov has indicated the need to provide a guarantee mechanism for mutual funds, attracting funds of citizens on the rental housing market. “Citizens need to feel constant comfort that this is not some pyramid, and absolutely reliable financial institution which attracts funds of citizens”, — he stressed. According to him, the rental market will grow at the expense of “transparent collective investments”.
Previously CEO of Alexander Plutnik, AHML announced that it plans this year to invest in the development of the rental market up to 30 billion RUB. This can help citizens who do not have the opportunity to buy their own apartment, to solve the housing problem. All these projects are in major cities, mainly Moscow, where people prefer to live in rental housing, he said. “We have this tool working, we understand how to generate these Funds and how to offer and sell this product to people,” Plutnik said, adding that he counted on the support of the Bank of Russia in the management and implementation of units of the Fund formed at the expense of the property directly to non-qualified investors.
Plutnik believes that now in the housing market and real estate market opportunities. “We see mortgage rates as people are buying apartments as citizens show interest in the sector of housing, the developers are also going in this sector,” said Plutnik.