Interest rates on long-term mortgage loans have dropped 0.4-0.6% to on average of 16.8% per annuml in hryvnia in just over a month, the NBU said in a report, according to KyivWeekly. In the meantime, the volume of issued mortgage loans has grown 15-20% every month since spring.

A survey conducted by KW showed that only four Ukrainian banks – Oshchadny, BM Bank, VTB Bank and UkrGasbank offered home mortgage with a minimum down payment of 10-20% of the apartment’s price. Others offer borrowers to pay from 25-30% to 60% of the price of an apartment. At that, Oshchadny offers loans with a 10% down payment only on condition of additional collateral – i.e. another apartment. Taking into account current prices on the real estate market, a future borrower must have at least US $12,000-15,000 in order to buy the cheapest one-room apartment and US $18,000-20,000 for a two-room apartment.

“ A borrower will need to confirm their official wage of at least UAH 10,000 per month in the first case and UAH 16,000 in the second case,” said the manager of one of the banks.

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The government and the NBU are reportedly in talks with banks on setting up the Agency for Refinancing Mortgage Loans. The state-owned Oshchadny, UkrExImBank, Kyiv Bank and UkrGasbank will be the founders of the agency that will jointly issue mortgage bonds.