KYIV. Dec 15 (Interfax-Ukraine) – Mortgage crediting of individuals slightly intensified in 2016, demand on mortgage is growing, as well as the number of applications for mortgage credits approved by banks, according to a December report on financial stability published by the National Bank of Ukraine (NBU).
“The crediting conditions poll conducted among banks in Q3 2016 shows that demand on mortgage credits is slightly growing along with the number of applications for mortgage credits approved by bank. Deposit corporations credit purchase of apartments and houses both on the primary and secondary markets. According to intermediaries, the share of residential housing bought in credit does not exceed 5%,” the NBU said.
The regulator said the conditions for provision of new mortgage credits are tough.
Along with buyers of apartments banks also credit constructors both in Kyiv and the regions.
“Large companies take credits for the period of up to three years. Smaller companies receive short-term credits from banks used to support the pace of construction if they fail to quickly sell apartments. However, the crediting of constructors is small. The key source of financing is own funds of companies and payments by apartment buyers,” the central bank said.
