Changes in the housing financing management in the Russian Federation

Since the population’s funds are the main source of financing for housing construction in the Russian Federation, the developers place a considerable risk on citizens by raising their funds. At the same time, a pivotal violation of the legislation in the field of housing construction implies the misuse of funds of citizens who provide co-financing to housing construction by concluding agreements with the developer (shared construction participation agreement). In this regard, project financing should be revised, and the compensation fund should be created to protect the rights of the housing equity holders. The research analyzes the stringent requirements for developers due to the amendments to the Federal Law No. 214-ФЗ which determine the procedure for the bankruptcy of developers and the minimum value of the authorized capital of an organization that is entitled to raise the population’s funds for housing construction. The study presents the views of experts and the author on the possible results of modifications to be implemented.