In the first half of 2021, the top 20 mortgage banks in Russia issued 907,000 loans to the population for the purchase of housing for a total of 2.6 trillion rubles. This is 45 and 76%, respectively, higher than the figures for the same period in 2020, according to the results of a study conducted by the analytical center Dom.RF together with Frank RG.
Sberbank became the leader in terms of the share of mortgage issues in the first six months. It accounted for almost half of the total volume of housing loans provided to citizens. The volume of mortgages provided to the population amounted to 1.3 trillion rubles. This is 111.4% more than a year ago. In second place is VTB (515.5 billion rubles; + 33%). This is followed by Alfa-Bank (140.2 billion rubles; + 126.7%), Otkritie (86.8 billion rubles; + 59.4%) and Rosselkhozbank (76.2 billion rubles; +49, 3%).
In June, banks issued 173,000 mortgage loans to citizens for 534 billion rubles. This is 42% and 85%, respectively, higher than the same month last year.
A similar dynamics was observed against the background of interest rates being close to historical lows, the authors of the study noted. In addition, there was a high demand for loans in the framework of preferential mortgage programs in the country, they added.
As of the end of June, the weighted average rate on mortgages in new buildings was 8.22% per annum. A year earlier, it was 8.03%. The secondary market rate is at the level of 8.43%, and the refinancing rate is 8.23% after 8.32 and 7.95%, respectively, as of June 30, 2020.
Primary real estate accounted for 28% of all mortgages issued in January-June. The share of secondary housing was 55%, and refinancing – 14%. Another 2% fell on individual houses, and 1% on loans secured by existing real estate.
In April, Bank of Russia Governor Elvira Nabiullina said that the mortgage market was showing signs of overheating due to the rapid growth in demand for these types of loans. Against the background of the key rate cut as part of the soft monetary policy pursued by the coronavirus pandemic in 2020, and the launch of a preferential program that allows the purchase of housing in a new building at a fixed 6.5% per annum, real estate prices in Russia rose much higher than inflation. added the head of the Central Bank. In view of this, the regulator increased the premiums to the risk ratios for mortgages with a reduced down payment of 15–20% for banks. The government also changed the terms of the preferential program, increasing the rate to 7%.