The Bank of Russia lowered the key rate to 7 percent - mortgages will become cheaper

The Bank of Russia lowered the key rate for the third time since the beginning of the year, from 7.25 to 7 percent per annum. The easing of monetary policy will lead to a decrease in bank rates, including for mortgage loans. It is expected that by the end of November, the average mortgage rate in the country may drop to 9.5 percent, and to 8 percent by next year, 5–9 percent.

The last time the key rate reached such a value was in March 2014.

en/ipoteka/">mortgages. If in April the weighted average interest on issued mortgage loans on purchase of an apartment was 10.41 percent, already in early August it was estimated at 10.21 . Moreover, many large banks, such as Otkritie and VTB, lowered the minimum rates on mortgage to 9-9.2 percent per annum, and some, like Rosbank, even lowered them below 8 percent.

According to experts, the monetary policy of the Central Bank will reduce average rates mortgage even earlier than President Vladimir Putin demanded from the government in his February message to the Federal Assembly. Already by 2021, the percentage of