Most banks will maintain the conditions on already approved mortgage applications
Photo: Julia PYKHALOVA
Very few people can now afford to buy an apartment without getting a loan – it is too expensive. For this reason, mortgage loans have become a popular solution for those who decide to improve their living conditions. The DOM.RF analytical center calculated that from January to June 2023, the total amount of mortgage loans amounted to 1.85 trillion rubles. This is 24% more than in the same period last year.
But now the situation can change dramatically. After all, the size of the key rate, which the Central Bank recently raised from 8.5% to 12% per annum, directly affects the terms of the loans. With its growth, the percentage in which banks lend to the population also increases. So what will happen to mortgage rates now? What about those who have already applied for a loan? We deal with these problems together with a specialist.
SHOULD I MAKE A MORTGAGE NOW?
Inna Soldatenkova, an expert at the Banki.ru Analytical Center, explains that in today’s realities, only “quality borrowers” will be able to get a mortgage. This is the name of non-accredited citizens who have a sufficient level of income.
“According to our expectations, at the current level of the key rate, and taking into account the Central Bank’s rhetoric about its possible increase in September, the magnitude of the increase in market mortgage rates by banks by the end of the summer it can be up to 4-4.5%”, says expert Inna Soldatenkova. – As a result, the average rate of such programs for clients of the open market can increase to 17-18% per annum. If you still plan to take out a mortgage, then the decision should be made carefully and based on the real need for housing. It is important to take into account the fact that real estate prices have not gone down yet, and this is a key factor that affects the amount of the loan, the monthly payment and the overpayment. Therefore, in today’s realities, I would advise you to apply for a mortgage under market programs in the secondary market only if you find an extremely profitable option. Or if you have the possibility to make early payments on a regular basis and, therefore, save on the amount of the overpayment.
With new buildings, according to the expert, the situation is simpler. State programs with low rates are designed for them (see below), and if you do not fit the amount limit, banks allow you to “get” the amount that is missing in a market mortgage. But! New building prices have risen more than second home prices over the last year, and by applying for a low-rate mortgage, you can get a payment amount comparable to that of a second home. In addition, the expenses should also include the cost of repairs, furnishing an apartment, etc.
WHAT TO DO IF THE MORTGAGE IS ALREADY APPROVED?
– In our opinion, most banks will retain the terms of already approved mortgage applications, but subject to borrowers entering the transaction in a short time – until the end of August, – assured Inna Soldatenkova. – Therefore, it is better for borrowers who are approved to apply for a mortgage not to delay. As an alternative to raising rates, banks can simply narrow the range of potential borrowers, leaving relatively acceptable pricing terms for trusted customers.
WHAT WILL HAPPEN WITH THE PREFERRED MORTGAGE?
Recall that now there are preferential mortgage programs, according to which the difference between market and prime rates for a home loan to the bank is compensated by the state. This applies only to new buildings, it is impossible to buy a second home under a preferential program.
– We do not expect a significant change in the terms of preferential mortgages from banks, since they are set at the government level, and so far there have been no statements about the possibility of their adjustments, – says Inna Soldatenkova.
There are five preferred mortgage options.
1. Family mortgage
Borrowers: families with children
Percentage: 6% (for the Far East – 5%).
Requirements:
– Citizenship of the Russian Federation for the father and the child;
– the presence in the family of a child born from January 1, 2018 to December 31, 2023.
Initial payment: from 15%.
Object of the mortgage:
An apartment or house from the developer under a shared construction agreement, assignment agreement, or purchase agreement. Construction of a house under contract or for the purchase of land with additional construction of a house.
Maximum loan amount:
– for Moscow, the Moscow region, St. Petersburg and the Leningrad region – 12 million rubles,
– for other regions – 6 million rubles.
2. Preferential mortgage
Borrowers – all adult citizens of Russia, regardless of marital status and the presence of children.
Percentage: 8%
Prerequisite: citizenship of the Russian Federation.
Initial payment: from 15%.
Subject of the mortgage: prefabricated housing of the developer or an apartment in a house under construction.
Maximum loan amount:
– for Moscow, the Moscow region, St. Petersburg and the Leningrad region – 12 million rubles,
– for other regions – 6 million rubles.
The program is valid until July 1, 2024.
3. Far East Mortgage
Borrowers:
– spouses under the age of 35 inclusive, who are registered in the purchased housing,
– single parent under 36 years of age with a child up to and including 18 years of age,
– the owner of the Far Eastern hectare,
– participants in programs to increase labor mobility,
– professors and employees of medical organizations with experience of 5 years,
– forced migrants from the territories of Ukraine, the Luhansk People’s Republic and the Donetsk People’s Republic
Percentage: 2%.
Requirements: citizenship of the Russian Federation.
Initial payment: from 15%.
Object of the mortgage:
– apartment or house of the developer,
– the construction of a house, including on your own, without the involvement of contractors,
– secondary dwellings in villages or on the territories of the Magadan region and the Chukotka Autonomous Okrug,
– secondary housing on the territory of any region of the Far East – for internally displaced persons from the territories of Ukraine, LPR and DPR.
Maximum loan amount: 6 million rubles.
The program runs until the end of 2030.
4. Rural mortgage
Borrowers: all citizens of legal age.
Percentage: from 0.1% to 3%.
Requirements: citizenship of the Russian Federation.
Initial payment: from 10%.
Object of the mortgage:
– new construction or second home,
– Home building.
Maximum loan amount:
– for the Leningrad region, the Far East and the Yamal Nenets Autonomous Okrug – 5 million rubles,
– for other regions – 3 million rubles.
The program is not valid in the territories of Moscow, the Moscow region and St. Petersburg.
5. IT Mortgage
Borrowers: employees of IT companies accredited by the Ministry of Digital Development.
Percentage: 5%.
Requirements: At least 3 months of experience in an IT company. Salary – from 70 to 150 thousand rubles. To maintain a preferential rate, you must work at a reputable IT company for at least 5 years.
Initial payment: from 15%.
Object of the mortgage:
– Housing in the primary market or construction of a house.
Maximum loan amount:
– 18 million rubles for regions with a population of 1 million people or more,
– 9 million rubles – for regions with a population of less than 1 million people.
