In May, mortgages were issued at an annualized rate of 7.6%, down from 7.7% in April. Most deals were made on the secondary market, and the eHouse program remains the main driver of the mortgage segment, according to the NBU's monthly survey of banks on mortgage lending, UNN reports.
Details
"In May, Ukrainian banks issued 976 mortgage loans totaling UAH 1.737 billion," the NBU said.
Key findings of the survey:
- the volume of mortgage loans granted to households in May 2024 remained almost at the level of the previous month;
- In May, 12 banks that lent money for the purchase of housing informed about the issuance of new mortgages. Most of the deals, as before, were made in the secondary real estate market;
- The mortgage segment remains driven by preferential lending under the eOselya program (almost all loans in April were granted under this program);
- The weighted average effective interest rate on mortgage loans decreased to 7.6% p.a. in May from 7.7% in April.
In terms of regions, the largest number of mortgage loans in May was issued in Kyiv and Kyiv region (464 agreements totaling UAH 911.6 million, which is 52.2% of the total), Lviv (53 agreements totaling UAH 110.6 million), Odesa (52 agreements totaling UAH 79 million) and Vinnytsia (42 agreements totaling UAH 72.4 million) regions.
For reference
During the survey in June 2024, 39 banks responded with a share of 98.9% of the total gross mortgage portfolio at the end of 2021.