Olena Dmitriieva, the First Deputy Chairperson of the Board of GLOBUS BANK, highlighted the key interrelated factors that will influence the development of mortgages in the second half of 2024. These include:
- Overall economic development of the country: The size of the discount rate, which determines loan rates (currently at 13%), the level of inflation, and accordingly, the exchange rate.
- Situation in the banking sector: The development of lending and the potential expansion of the number of partner banks in the “yeOselia” program.
- Construction rates and developer strategy: Aimed at expanding mechanisms for purchasing housing at the construction stage (installment programs, joint mortgage programs with banks, participation in the state mortgage program “yeOselia,” etc.).
- Construction risks: The financial capability of developers to continue construction amid potential cost increases, adherence to project deadlines despite energy supply disruptions, and the overall demand for housing at the construction stage.
- War risks: The geographical scope of military actions, effective counteraction against the enemy, and overcoming the consequences of enemy aggression.
The expert forecasts that by the end of the year, the number of loans issued for objects under construction within the “yeOselia” program will increase and may account for up to 20% of the total number of preferential mortgages. However, several crucial conditions need to align for this to happen: the activation of developers interested in participating in the state mortgage program, an increase in the number of banks developing mortgage lending, and the interest and financial capabilities of potential buyers in purchasing housing on credit at the construction stage.
“Primary market mortgages are important as they are one of the effective mechanisms for developing the construction sector. Therefore, the strategic goal of “yeOselia” is likely to remain unchanged — to create optimal conditions that stimulate construction development and meet citizens' needs for quality housing,” concluded Olena Dmitriieva.
