The volume of mortgage issuance in Russia in August 2020 increased by 59 per cent compared to August 2019 (up to 375 billion rubles), setting a new record in the entire history of the market, PRIME reported with reference to the press service of the Dom.RF housing development company.
In general, for eight months of 2020, 895 thousand mortgage loans were issued in Russia (+14 per cent over the same period last year) in the amount of 2.2 trillion rubles (+26 per cent). It is noted that the previous record for the monthly volume of mortgage lending was recorded in July 2020 (362 billion rubles). In August 2020, 148 thousand mortgage loans were issued in the country, which is 38% more than a year earlier.
“We see that the mortgage market has fully recovered from the negative consequences of the coronavirus pandemic. This was due to the restoration of consumer confidence of citizens and the implementation of a preferential mortgage programme for new buildings at 6.5 per cent. According to our estimates, in August, more than 90 per cent of all loans were for primary market,” the head of the analytical centre of the company, Mikhail Goldberg, said.
According to the forecast of the company, in total in 2020 it is expected to issue at least 1.3 million mortgage loans worth over 3 trillion rubles, which is a record value in the history of the Russian domestic mortgage market.