According to the nine-month results of 2024, the share of mortgage-free transactions increased by 11 points compared to last year. Alexey Zavgorodniy, CEO of the M2 real estate ecosystem, told socialbites.ca.
“Therefore, 67% of all transactions carried out using M2 services in the three quarters of 2024 consist of mortgages. We are also seeing an emerging trend towards mortgage-free transactions. Today their share on the platform is more than 32%, which is 11 percentage points higher than a year ago,” said Zavgorodniy.
He announced that equality has now been achieved in mortgaged and non-mortgaged transactions in some regions. The main reason for the decline in the popularity of mortgage loans is low accessibility due to the high key rate, the abolition of the 8% preferential program and the tightening of conditions for family and IT mortgages. In addition, some citizens invest in real estate with the expectation that its price will increase. So Russians still use housing for long-term savings investment.
Other market trends include interest in custom homes. Therefore, according to VTsIOM, more than 50%, that is, 15 million young families, need improved housing conditions. The shares of those who want to buy a flat and those who want to build a house are approximately equal. However, in the fall, some families postponed their home purchases due to market conditions and seasonality in this segment.
This is confirmed by the M2 study “Realtor Sentiment Index”. According to the results of the September survey, approximately 68% of respondents noted a significant decline in demand for suburban real estate. But still, according to the M2 analytical center, the demand situation in individual housing construction is much better than in other housing segments.
Another trend is small apartments. According to a study by VTsIOM, more than 80 percent of Russians surveyed want to live in two- and three-room apartments. At the same time, according to M2 analysts, two- and three-room apartments accounted for 66% of transactions in 2023 and 58% in the first half of this year. Thus, in the first half of the year, demand shifted to small houses. Small apartments in the secondary market continued to be in demand in the second half of the year due to their affordable prices. In the primary housing market in the third quarter of 2024, demand for two-room and three-room apartments returned, along with the popularity of family mortgages.
existed before named The reason why prime new building buyers are getting mortgages.
What are you thinking?
Source: Gazeta
Barbara Dickson is a seasoned writer for “Social Bites”. She keeps readers informed on the latest news and trends, providing in-depth coverage and analysis on a variety of topics.