According to preliminary estimates of the Central Bank, the number and volume of state-backed mortgage issues in Russia in November this year decreased by 0.6 percent and 0.4 percent compared to October. socialbites.ca was informed about this by the press service of the Main Directorate of the Central Federal District of the Bank of Russia.
“The amount and amount of concessional housing loans given for housing in October decreased by 16.1 percent and 16.8 percent, respectively, compared to September. The increase in the down payment rate under preferential programs from 15% to 20%, the increase in market mortgage rates and the tightening of macro premiums for the riskiest mortgages from October 1 led to a decrease in the issuance volume in Turkey. October. Our position has not changed. The growth in mortgage lending is largely reflected in rising house prices. In the last three years, the increase in new building prices has significantly exceeded the increase in wages. “There has been a decrease in the quality of loans due to mortgages being given to borrowers with high debt burdens,” he said.
They added that the planned new increase in contributions (to 30 percent) would help the mortgage market cool to a more balanced growth rate, thus preventing new home prices from rising so quickly. Otherwise, state support will not lead to an increase in people’s housing affordability, the press service explained.
“It would be desirable for government-backed mortgage programs to be more targeted, for example mortgages for family and new areas, but an increase in down payment for these has not yet been announced by the government. “Next year we expect to have an additional tool – macroprudential limits on mortgage lending – the maximum share of mortgage loans that banks can make each quarter.”
A total of 770 billion rubles were issued under mortgage in Russia in October; This is 19% lower than the September volume, but still significantly above the average monthly figures for the first half of 2023 – 955 billion rubles and about 500 billion rubles respectively. At the same time, the share of state-backed mortgage loans in total housing loans extended in October reached 71%.
Previously “socialbites.ca” saidWhat will be the availability of mortgages in the event of a new increase in down payment?