In August, banks issued mortgages for a record 849.1 billion rubles – Kommersant

In August, banks issued a record RUB 849.1 billion since December 2022. residential mortgage. This is stated in review the housing mortgage lending (HML) market on the website of the Central Bank (CB) of Russia.

In total, 216.1 thousand ruble mortgage loans were provided in a month. “YoY, the number and volume of mortgage loans provided increased by more than one and a half times (by 77.3 and 85.5%, respectively). In August, the growth rate of mortgage lending was twice as high as that of retail lending (31.3 versus 14.9%, respectively),” the Central Bank said in a statement.

Mortgage loans for the month accounted for about a third of the volume of all loans provided, and the largest increase was in the issuance of mortgage loans for the purchase of housing under construction (RUB 369.2 billion). The Central Bank’s material states that lending was actively supported by preferential programs.

The dynamics, as the regulator writes, may be due to the preservation of subsidy rates and the expectation of an increase in the minimum down payment under state support programs, as well as the desire to save money against the backdrop of a weakening ruble.

The interest rate on mortgage loans under an equity participation agreement in August decreased to 5.92% (-0.14 percentage points per month). The interest rate on mortgage loans, on the contrary, was slightly higher than the July level (9.83% versus 9.76%). The average size of one mortgage loan was RUB 3.9 million. (+3.7% by July and +4.6% by August 2022).

Earlier, the Central Bank said that almost 72% of bank clients with a mortgage loan spend more than half of their income on repaying it. This happens due to risky groups of clients, the Central Bank explained. The regulator warned that the consequence was a “deterioration in lending standards.”

Read more in the Kommersant article. “Mortgage adjusted to the Central Bank

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Petr Buzlaev