The issuance of preferential mortgages decreased by 70% in the year

In total, according to the results of nine months of 2024, banks provided more than 530 thousand preferential mortgage loans for a total amount of 2.82 trillion rubles, which accounted for 70% of the total volume of mortgage loans during the same period . The average amount of a loan granted in September 2024 increased by 11% compared to September 2023 and amounted to 5.71 million rubles.

The average duration of a prime mortgage in September 2024 was 26 years, a record value for the entire period of state support for housing loans. The longest average mortgage terms (29 years and 1 month) were recorded in Kalmykia. The shortest mortgage terms in September were recorded in the Arkhangelsk region (20.5 years) and the Primorsky Territory (21 years).

The first place among the main regions in terms of the volume of issuance of preferential mortgages is still occupied by Moscow, where in September they issued 2.87 thousand loans worth more than 24 billion rubles. The second and third places were taken by the Moscow region (1.9 thousand loans worth almost 15 billion rubles) and St. Petersburg (1.87 thousand loans, almost 13 billion rubles).

Most often, residents of Siberia and the Far East prefer to take preferential mortgages in relation to the total volume of housing loans issued. For example, in the Nenets Autonomous Okrug, state support is present in 88% of issued mortgage loans, in Yakutia this proportion is 85%, in the Amur Region – 84%.

The abolition of preferential mortgages at 8% caused a drop in demand for housing loans by 53%, the biggest hit was suffered by the demand for housing under construction, KEY CAPITAL CEO Olga Guseva told Gazeta.ru. The mortgage market for the purchase of finished homes, normally in the secondary market, experienced a less pronounced decline. The demand for this type of housing loans fell the most in the Moscow region (-52%) and Sevastopol (-52%).

A massive reduction in the issuance of preferential mortgages should lead to a cooling of the real estate market, says IRN.RU analyst Oleg Repchenko. According to the expert, the tightening of the conditions of preferential housing loan programs will allow housing prices and demand to fall “from inadequate maximums to the average statistical level.”