Banks began to raise mortgage rates

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Banks began to raise mortgage rates
Banks began to raise mortgage rates
16 November, 09:31Economy
The dynamics of the key rate of the Central Bank, after another increase in October, returned to the level of June-July 2019. At the same time, the consistent growth has pushed Russian credit institutions to take a course towards higher mortgage prices.

On November 15, Sberbank raised mortgage rates for apartments in new buildings by 0.4 percentage points - up to 8.8%. "Resale" on the mortgage of Sberbank will cost 0.6 pp more. - up to 9.1% . VTB announced a rate hike from November 22, and if the key rate is raised to 8%, it predicts further growth.

Other banks also report that the consistent increase in the key rate leads to a gradual increase in mortgage rates. In October, we recall that the Board of Directors of the Bank of Russia decided to raise the key rate to 7.5% per annum. After that, we note that Absolut Bank also raised rates on standard mortgage lending programs by 0.5 percentage points. However, the credit institution is not planning further growth.

Since November 8, the mortgage has grown by 0.6 percentage points. at MTS Bank, at the beginning of the month Promsvyazbank and Rosbank Dom raised rates.

Vadim Mamonov, director of the mortgage products and digital business department at Rosbank Dom, warned that there remains the possibility of an even greater increase in the key rate, and the pace of inflation acceleration could force the Central Bank to continue the cycle of tightening monetary policy.

On the eve, by the way, the vice-president of the Russian guild of realtors Oleg Samoilov indicated that other credit organizations would also raise mortgage rates behind Sberbank. However, against the backdrop of falling purchasing power and a high level of debt load, Russians expect stagnation in the real estate market.

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