PrJSC Ukrainian Financial Housing Company (Ukrfinzhytlo) plans to increase the share of loans for the purchase of property rights to housing under construction to 20-30% in 2024 and to 80% or more by 2028, according to the company’s strategic goals set out in its annual financial report for 2023.
According to the report on Ukrfinzhytl’s website, the financial plan for 2024 envisages a 16.5% increase in the volume of revenues from the company’s business activities compared to the 2023 target. By the end of 2024, it is planned to form a loan portfolio (the balance of debt under eHouse program agreements and financial leasing agreements) in the amount of UAH 29.9 billion (about 20 thousand loans).
In addition, in the second half of 2024, the state budget provides for additional capitalization of Ukrfinzhytl in the amount of UAH 20 billion, the document says. The company’s capital investments for 2024 are planned in the amount of UAH 44.3 million at the expense of its own funds.
Ukrfinzhytel’s strategic goals for 2024-2028 include providing housing for 50 thousand families, developing subprograms with central and local authorities, developing and launching a transparent housing construction financing scheme to protect investors’ rights, ensuring the de-shadowing of the rental housing market, etc.
According to the results of the last year, 6325 mortgage loans totaling UAH 9.5 billion were issued during the operation of the eHouse program and by the end of 2023. 83.6% or 5289 loans were issued to privileged categories of citizens at 3% per annum, 16.4% or 1036 loans to other categories at 7%. The leader was Oschadbank, which lent 43% of the program’s clients, and most of the apartments under the program were purchased in Kyiv, Kyiv, Rivne, Volyn and Chernihiv regions, the document says.
Earlier, Yevhen Metzger, Chairman of the Board of Ukrfinzhytl, announced the company’s plans to gradually leave the secondary real estate market and focus on the primary market.
As reported, the affordable mortgage lending program eHouse was launched in Ukraine in October 2022. Contract servicemen of the Armed Forces of Ukraine, employees of the security and defense sector, healthcare workers, teachers, and researchers can apply for a preferential mortgage at 3% per annum for up to 20 years with a down payment of 20% of the cost of housing.
Starting from August 1, 2023, war veterans, combatants, internally displaced persons (IDPs) and citizens who do not have their own housing larger than the standard area can apply for the eHouse program at a 7% discount.
Eight partner banks are integrated into this program: Oschadbank, PrivatBank, Ukrgasbank, Globus Bank, Sky Bank, Ukreximbank, SENS and Bank Credit Dnipro. You can apply for participation in the program in the Diia mobile application.
As of April 30, the volume of loans issued under eHousing reached UAH 14.9 billion, with loans issued to 9,613 families. At the same time, 2.9% of apartments were purchased on the primary market, 71.7% on the secondary market, and 25.4% from developers.
