Mortgage portfolio in 2021 increased by 25% in Bashkiria

The total amount of mortgage loans increased to 328 billion rubles. Last year, residents of the republic took out a mortgage for 159 billion rubles.

The National Bank of Bashkiria commented that preferential mortgage lending programs and low rates had become growth drivers. Historic low for mortgage rates in the region was recorded in March - 7.15%.

As a result, in the first half of the year, the most significant volume of loan issuance took place in March-April. The second peak came in June when people were in a hurry to get a preferential mortgage at 6.5% before changing the conditions of the preferential lending program.

In the second half of the year, the largest issuance volume was observed in December. This is due both to the traditional increase in buying activity at the end of the year and people’s intention to get a mortgage at current rates, expecting their further boost following the growth of the key rate of the Bank of Russia.

The share of overdue debt decreased over the year from 0.6% to 0.4%, which indicates the high quality of mortgage loans, the National Bank RB noted.