The Ministry expects to maintain the positive dynamics in construction

© RIA Novosti / Natalia to Seliverstova in fotoreceptori. Archival photoThe Ministry expects to maintain the positive dynamics in construction© RIA Novosti / Natalia to Seliverstova the image Bank

Ministry of economic development forecasts a continued positive dynamics in construction in the coming months, including due to the recovery in the mortgage market, according to the Ministry.

«The Ministry expects the favourable dynamics in construction in the coming months, including through the revival of mortgage lending», — the report says «the picture of the economy in July 2017,» published by the Ministry on Monday. In the second quarter of 2017, the average monthly volume of newly issued mortgage loans, cleared of seasonality, increased by 14.9% compared with the first quarter and reached levels 2014, the report said.

«The growth of activity in the mortgage market was provided primarily by lower interest rates. Rates on new loans fell to 11.3% in the second quarter compared to 11.8% in the first quarter and 12.5% in 2016», — explain in the Ministry.

According to the MAYOR, some softening was observed on non-price parameters: in particular, the average weighted period of lending in June reached the highest level since July 2014.

«According to the survey of the Bank of Russia, in the second half of the year, banks expect a further easing of mortgage lending terms and increased demand due to the ongoing increase in housing affordability. In these circumstances, the revival of the mortgage market will support the housing and construction sector as a whole», — concluded the Ministry.

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