Housing commissioning increased by 10% in Ufa in 2019

According to the Ufa administration, 720 thousand square meters of housing were commissioned in the city in 2019, which is 10% higher than the level of 2018. The main increase was provided by the construction of multi-story buildings, which showed steady growth over the past two years. At the same time, the actual indicator of housing commissioning turned out to be 67 thousand square meters higher in 2019 than forecasted values.

In Bashkiria as a whole, in 2019, the volume of housing commissioned in apartment buildings increased by 11%, in the private sector - decreased by 2%.

The growth in the construction industry in Ufa is explained, first of all, by the desire of developers to complete the construction of houses, which had begun under the previously applied shared construction scheme. Since July 1, 2019, housing construction with the participation of money from interest holders, through which up to 80% of all multi-story buildings were previously commissioned, is possible only through the project financing mechanism for escrow accounts of specially authorized banks. This may lead to the withdrawal of about 20% of construction companies, mainly small companies with small amounts of working capital by the end of 2020. The withdrawal of some developers may become one of the factors of housing commissioning decline.

A possible slowdown in the pace of housing construction is also indicated by a 14 percent decrease in 2019 in the number of mortgage loans issued in Bashkiria. The physical volume of registered mortgages decreased by 7% and amounted to 86.3 billion rubles, against 92.2 billion rubles in 2018. The average level of mortgage rates was 9.9%, which is 3.10 percentage points higher than in 2018.