During the year of the preferential mortgage program at 6.5%, almost 450 thousand loans were issued
The mortgage subsidy program for new buildings was launched on behalf of Russian President Vladimir Putin in April 2020 with the aim of supporting the construction industry and housing affordability amid the spread of coronavirus infection. According to Deputy Prime Minister of the Russian Federation Marat Khusnullin, since the start of the program of preferential mortgages at 6.5%, banks have issued almost 450 thousand loans for 1.337 trillion rubles. The geography of preferential mortgages is the widest, with residents of 85 constituent entities of the Russian Federation participating in the program. The most popular preferential mortgage has become in St. Petersburg, Moscow, Moscow Region, Krasnodar Krai, Sverdlovsk Region, Tyumen Region, Rostov Region, Republic of Tatarstan, Republic of Bashkortostan, Novosibirsk Region. “We see that the preferential mortgage program has turned out to be in great demand among people in almost all regions of the country. In 2021 alone, almost 100 thousand loans were issued in the amount of 335 billion rubles, the average loan amount is about 3 million rubles,”- said Irek Fayzullin, Minister of Construction, Housing and Communal Services of the Russian Federation. The launch of the program ensured an increase in the volume of new construction in the housing market: the area of housing construction permits issued in 3 months of this year exceeded the same indicator in the first quarter of 2020 by 54%.