In the spring of 2020, Russian citizens have the opportunity to buy an apartment in a new building in a mortgage at a preferential rate of 6.5% with state support. This made it possible to make a mortgage is more affordable, but led to an increase in the cost of real estate due to extremely high demand for housing. However, now the authorities say that the program of the preferential mortgage will be extended to 2024. Is it so that banks think about this? The president instructed to consider the options for preferential mortgage lending to 2024 in January 2021, a meeting on the economy was held, at which President Vladimir Putin gave the government and the Central Bank by order until the end of March to develop options for the extension of preferential mortgage programs up to 2024 of the year. It was noted that this program during a pandemic allowed to support the construction industry, as well as to improve the housing conditions for hundreds of thousands of families.
In addition, the President proposed one of the embodiments of such a program. It may include an even greater increase in the interest rate. But not for everyone, but for those families who have two or more children. What is this program? The preferential mortgage with state support is a program that allows residents of Russia to buy an apartment in a building under construction just 6.5%. Residents of St. Petersburg and Leningrad region, Moscow and Moscow region can take no more than 12 million rubles for such a percentage, and people living in other regions are not more than 6.
For the first time, this program was launched on the proposal of the President in April 2020 in the midst of the coronavirus epidemic in order to support the construction industry and the possibility of acquiring housing. It was originally planned that it would end in November 2020. Then the program was extended until July 2021. Now it is drawn up more than 90% of all mortgages to purchase an apartment in a construction site. What is thought to be the Bankeecentroeer earlier noted that the program of the preferential mortgage should be gradually completed. The fact is that the dynamics of the increase in housing prices was not controlled, and as a result, due to large volumes of mortgage lending, they greatly increased. The president himself noted that, due to the action of the program in the housing market in some regions, serious imbalances arose. Demand exceeded the proposal. Also, the Central Bank noted that it was originally this program had a social orientation that lost in the end. In big cities, people began to try to fully invest their accumulations in real estate and only stimulate price increases. As a result, the goal "make housing more accessible to all" was never achieved.
Most of all preferential loans were issued in Moscow, St. Petersburg, Moscow region, where and so great demand. Meanwhile, one of the purposes of the program was the development of construction and an increase in the availability of housing in other regions. Therefore, the bank proposes to translate a preferential mortgage only to those regions where it is necessary. That is that the prolongation of a preferential mortgage is possible only until the end of 2021, the head of the Central Bank of Elvira Nabiullina reported. Now the government aims criteria and suggestions for all possible options for its extension. It was emphasized that there is a sense to preserve the program, but only in separate regions. They will be selected depending on the growth rates of real estate prices and the amount of offer. According to preliminary calculations, there are 24 subjects, where due to the extension of the program of preferential lending, negative effects will not arise.