Mortgage loans for individual housing construction (IZHS) will begin to be issued in Russia in 2021, but the interest rate will be higher than usual, said Deputy Prime Minister of the Russian Federation Marat Khusnullin.
“We talked with the Central Bank, Sberbank, personally with the head of Sberbank German Gref. We held a number of meetings and nevertheless agreed to release such a
mortgage product this year. It will probably cost a little more than the regular one. This year we will work on a trial basis and hope that a product will appear on the banking market that will allow each home owner to take out a loan and build or reconstruct an existing house," Khusnullin said.
According to the deputy chairman, demand for individual housing construction is now at a very high level, but there are a number of problems that prevent the start of
mortgage lending. According to Khusnullin, the financing of the program will be measured in tens of billions, it is too early to talk about exact figures. There is no large mortgage product, because the land is not marked off, it has no value, it is not of collateral interest. And banks do not lend to this product," Khusnullin noted.
In November 2020, Russian President Vladimir Putin instructed to develop measures aimed at providing
