Demand for new buildings is recovering in Russia

According to Dom.RF, more than half of the developers, 54%, fulfilled plans for apartment sales. In annual terms, the figure immediately increased by 21 percentage points; over three months it increased by 16 percentage points. A decrease in mortgage rates and an increase in apartment sales allowed developers to maintain a high level of construction activity. The share of developers who had implemented plans to launch projects by October was 66%.

The receipt of funds in escrow accounts indicates that the demand for new buildings is gradually recovering, Dom.RF notes. According to the Central Bank, in September the volume of funds received into escrow accounts amounted to 491 billion rubles. This is more than a third higher than the monthly average for the first half of the year. This is one of the main indicators of the recovery in demand for primary housing, the state-owned company emphasizes.

The recovery in demand is also indicated by the acceleration in the issuance of mortgage loans against the backdrop of lower market mortgage rates. In October, Russian banks issued 105 thousand housing loans totaling 481 billion rubles. The number and volume of lending increased by 19% compared to September. Compared to October 2024, the number of mortgage loans increased by 10%, and in monetary terms, the issuance of mortgages increased by almost a third.

source: CYANOGEN