Major Russian banks started to raise rates mortgage after the collapse of the ruble. Conditions deteriorate even on approved applications for loans which have not yet signed contracts
Photo: Akishin Vyacheslav / Moscow-Live.ru
Major Russian banks started to raise rates mortgage after the collapse of the ruble. Conditions deteriorate even on approved applications for loans which have not yet signed contracts, write “Vedomosti”.
“because of the volatility in the markets, the devaluation of the ruble, the growth yield of OFZ [Federal loan bonds] most banks had to think about what to do with the rates. To issuing long term mortgages at current rates becomes unprofitable for banks”, – told the publication source at the helm in one of the banks top 30.
In the “UniCredit Bank” rates rose for all mortgage loans by 1.5 percentage points, to 10.4‒13.5% per annum. Transcapitalbank (TCB) at the same increased rates on all programs except “family mortgage” to 9.99 is 10.29%. He also raised the rate of the loan for any purposes under the pledge of existing housing by 1.5 percentage points to 15.49‒16,49%.
Rate mortgages getting ready to raise in the “Absolut Bank” and, according to unconfirmed reports, Raiffeisenbank. Alfa-Bank “FC Opening” and ROSBANK are considering it, told the newspaper in credit institutions. VTB, ICD, URALSIB, Zenit, SMP Bank will monitor changes in economic and market conditions and accordingly adjust mortgage terms.
PSB and UBRD are not planning to change the terms of mortgage lending before the meeting of the Central Bank’s key rate on March 20. The UBRD, in contrast, lowered mortgage rates: minimum for buildings up to 7.9% per annum, for a finished housing from 8.2%.
a Situation in which the banks raise interest on the already approved applications, it was noted in the crisis 2014. Real estate Agency “MIEL” has recorded a case in which the client approved application became aware of the change mortgage terms at the time of the transaction and in the end abandoned it. The company’s representative Julia Fedoseeva noted that prior to the collapse of exchange rates on approved loans are not varied even when the increase rate of the Central Bank.
Banks and lawyers explain that the final interest rate is fixed at the time of the transaction. If the mortgage loan is approved, but the contract has not been signed, the Bank can change the interest rate at any time before signing in any direction. The borrower has the right to refuse to sign the agreement on new terms. Most customers go to the banks, where rates remained at the same level.
to Change a bid already issued by the mortgage Bank can only in the smaller side. To increase unilaterally the creditor has no right, except as provided by contract and by law (the default, currency devaluation or other force majeure, the failure of the borrower from compulsory insurance, the decision of the court, with the consent of the borrower).
the General Director of the state company “the House.Of the Russian Federation,” Vitaly Mutko recently made the growth of mortgage rates in connection with sharp fall of the ruble, noting that banks have a week to grant mortgages at a loss. He added that much depends on the decision of Centerbank on the key rate.
the Weighted average interest rate on mortgages in Russia in 2019 amounted to 9.9% and the January value of 8.79% was mminimalnym in the history of the market. At the end of February, Deputy Finance Minister Alexei Moiseyev said that the average rate on mortgages in Russia could fall below 8% by the end of this year.