scholarly journals MORTGAGE LENDING AS A WAY TO INCREASE HOUSING AFFORDABILITY IN RUSSIA

2021 ◽  
pp. 68-71
Author(s):  
T.A. Ivanova
Keyword(s):  
Housing Prices ◽  
Mortgage Lending ◽  
Housing Affordability ◽  
Mortgage Loans ◽  
Regional Context ◽  
Slowing Down ◽  
Housing Security ◽  
Investment Demand ◽  
The Interest Rate ◽  
The Impact

This article discusses the issue of bringing the indicator «Housing Affordability Ratio» to an indicator that would reflect the number of years required to buy a home. A statistical analysis is carried out on the modifications of the indicator «Housing affordability coefficient», on the demand for mortgage loans in the regional context. The analysis of the demand for mortgage loans, as well as the level of housing security of the population in the regional context, is carried out. The relationship between the mortgage rate and the level of housing prices is analyzed. An assessment of the impact of the policy to reduce the interest rate on mortgage loans on the level of housing prices is given. The following problems of housing security in the Russian Federation are identified: regional disparities in housing security, the growth of investment demand for housing in the context of macroeconomic instability as a factor of slowing down the growth of housing security, threats to the implementation of targeted measures to support the provision of housing for the population. Possible ways to increase housing affordability are analyzed.

scholarly journals Impact of Government Measures to Support Mortgage Lending on Housing Affordability in Russia: Regional Evidence

2021 ◽  
Vol 80 (4) ◽  
pp. 98-123
Author(s):  
Ianina Roshchina ◽  
◽  
Natalia Ilyunkina ◽  
Keyword(s):  
Housing Prices ◽  
Real Estate Market ◽  
Mortgage Lending ◽  
Housing Affordability ◽  
Government Support ◽  
The Real Estate ◽  
The Real Estate Market ◽  
Support Housing ◽  
Quantitative Indicators ◽  
The Impact

This study investigates housing affordability in Russia: factors of affordability, quantitative indicators, and government support measures. We are especially interested in the mortgage rate subsidy programmes that were implemented in 2015–2016 and 2020–2021 and their impact on housing affordability indicators. In order to evaluate impact of the first programme, we use a model of the real estate market and we decompose the index of housing affordability into different factors. As a result of our econometric analysis, we conclude that in general the programme was successful. Data about the second programme are not yet sufficient, so we evaluate its impact by a statistical analysis of the dynamics of the main indicators. We conclude that the impact is ambiguous: up until a particular moment (different in different regions), borrowers could benefit from the programme, but after that moment the increase in housing prices caused by the programme itself were exceeding the benefits from the subsidised rates. In conclusion, we provide some methods to improve the effectiveness of government measures to support housing affordability, which could be useful in the development of new programmes.

scholarly journals Mortgage lending as a mechanism to stimulate investment demand in the context of digitalization

2021 ◽  
Vol 128 ◽  
pp. 01011
Author(s):  
Tatiana Kolmykova ◽  
Elvira Sitnikova ◽  
Petr Kovalev ◽  
Elena Astapenko
Keyword(s):  
Negative Impact ◽  
Human Life ◽  
Mortgage Lending ◽  
Mortgage Loans ◽  
Difficult Situation ◽  
Investment Demand ◽  
Significant Area ◽  
The Government ◽  
The Impact ◽  
Negative Factors

Currently, in difficult epidemiological conditions, there are significant changes in all spheres of human life. Also, the negative impact of the coronavirus epidemic (COVID-19) was not spared by such a significant area for humanity as a mortgage. Mortgage activity has undergone significant changes in the context of the pandemic, especially under the influence of negative factors. However, despite the difficult epidemiological conditions, the Government of the Russian Federation proposed supportive measures and provided assistance to citizens who found themselves in a difficult situation. The article analyzes the trend in the development of mortgage lending, determines the dynamics of the volume of housing mortgage lending provided by credit institutions to individuals, reveals the interdependence between the number of loans issued and the mortgage rate, examines the impact of overdue debt on mortgage loans on the efficiency of a credit institution. The article examines the activities of the leader in mortgage lending Sberbank. The authors proposed measures to improve the efficiency of mortgage lending development in the activities of Sberbank.

NEGATIVE INFLUENCE OF MORTGAGE LOANS ON THE DEMOGRAPHIC SITUATION IN RUSSIA

2021 ◽  
Author(s):  
A.V. Velegurov ◽  
◽  
V.S. Istomin ◽  
Keyword(s):  
Birth Rate ◽  
Negative Influence ◽  
Mortgage Lending ◽  
Mortgage Loans ◽  
Demographic Situation ◽  
The Impact

The article examines the problem of fertility in Russia, the impact of mortgage lending on it, as well as methods of influence to stabilize the birth rate

scholarly journals German banks’ behavior in the low interest rate environment

2021 ◽  
Author(s):  
Ramona Busch ◽  
Helge C. N. Littke ◽  
Christoph Memmel ◽  
Simon Niederauer
Keyword(s):  
Interest Rate ◽  
Negative Impact ◽  
Mortgage Lending ◽  
Rate Level ◽  
Interest Income ◽  
Bond Portfolio ◽  
Rate Environment ◽  
Using Data ◽  
The Interest Rate ◽  
The Impact

AbstractUsing data from a quantitative survey of German banks at three points in time (2015, 2017 and 2019), we analyze the impact of changes in the interest rate level on banks’ net interest income and the countermeasures they take. A decline in the interest rate level has a more negative impact on net interest income, the longer the decline lasts and the lower the interest rate level is. This impact softens with increasing risk of changes in the present value of banking books. We do not find that banks generally increase their risks following a drop in income. However, poorly capitalized banks subsequently increase the credit risk of their bond portfolio. After a fall in operational income, banks increase their fee and commission income and reduce their costs. In addition, banks tend to extend their mortgage lending after a drop in their interest income.

THREATS TO SOCIAL AND ECONOMIC SECURITY IN THE SPHERE OF HOUSING CONSTRUCTION AND DIRECTIONS FOR ITS SUPPORT

2021 ◽  
Vol 1 (35) ◽  
pp. 43-48
Author(s):  
A.I. Sadykova ◽  
Keyword(s):  
Mortgage Lending ◽  
Economic Security ◽  
Housing Affordability ◽  
Mortgage Loan ◽  
Housing Construction ◽  
Subsistence Level ◽  
Difficult Situation ◽  
Coronavirus Infection ◽  
The Interest Rate ◽  
The One

The article examines the threats to socio-economic security in the field of housing construction that arose during the pandemic of the new coronavirus infection. The pandemic has made adjustments to the work of all enterprises. A large number of organizations either stopped their work or switched to a reduced mode of operation, which, in turn, affected such indicators as: the level of income of the population, the level of unemployment. In Russia, the housing market, according to the accepted international methodology, is substantially inaccessible. The population with incomes below the subsistence level established in the region cannot purchase housing even in the future. During the pandemic, incomes of citizens fell sharply, the unemployment rate rose, the level of poverty increased, and prices for primary housing went up, which led to an aggravation of the situation. It is impossible to solve the problem without help from the state. Measures are needed to, on the one hand, increase the level of housing affordability for the population, relieve social tension, and on the other hand, push the development of housing construction and related areas. For these purposes, for the period 2019-2020 a number of programs were launched. They relate to mortgage lending (for the purpose of purchasing housing in the primary market) in terms of subsidizing the interest rate on mortgages, as well as providing additional benefits for certain categories of citizens (large families, families with a disabled child). Also, the implementation of the program "mortgage vacations" continues, which applies to citizens who have previously received a mortgage loan, but found themselves in a difficult situation during the pandemic. The set of measures taken will increase the level of housing affordability for citizens and support the demand for primary housing. At the same time, these measures are not enough, since the growing demand for housing leads to higher prices for it, and the acceleration of housing construction requires additional measures to support developers.

scholarly journals Potential and limitations of post-crisis recovery of Ukrainian mortgage market

2013 ◽  
Vol 2013 (2) ◽  
pp. 127-139
Author(s):  
Yevhen Bublyk
Keyword(s):  
Economic Crisis ◽  
Structural Characteristics ◽  
Mortgage Lending ◽  
Institutional Structure ◽  
Mortgage Market ◽  
Government Programs ◽  
Mortgage Loans ◽  
Crisis Recovery ◽  
Support Housing ◽  
The Impact

The article analyzes the structural characteristics of the mortgage lending market caused by the impact of financial and economic crisis. The evaluation of government programs to support housing mortgage loans is conducted,conclusions and recommendations are made on future actions for the resumption of bank mortgage lending through improving institutional structure, legal support and government programs.

scholarly journals What Role Does the Housing Market Play for the Macroeconomic Transmission Mechanism?

2020 ◽  
Vol 13 (6) ◽  
pp. 112
Author(s):  
Mats Wilhelmsson
Keyword(s):  
Interest Rate ◽  
Housing Market ◽  
Housing Prices ◽  
Bank Lending ◽  
Transmission Mechanism ◽  
Bank Lending Channel ◽  
Lending Channel ◽  
The Interest Rate ◽  
The Impact ◽  
Over Time

The main objective is to answer the question: What role does the housing market play for the transmission mechanism and (in particular) is the impact constant over time? The research question also includes analyzing the importance of the housing market for the transmission mechanism. We estimate an eight-variable structural vector autoregression (SVAR) model of the Swedish economy over the period 1993 and 2018 using quarterly data, covering both the internet bubble in 2000 and the financial crises in 2008. The results indicate that interest rates have both a direct effect on housing prices and an indirect impact through the bank lending channel. Over time, the traditional interest rate channel importance has been stable. On the other hand, the role of the bank lending channel has increased over time. Household debt has increased substantially in Sweden and elsewhere. That means that the interest rate sensitivity in society has increased. Based on the results, it is possible to evaluate and forecast potential house price effects (both direct and indirect) when the interest rate changes.

scholarly journals QUARTERLY ANALYSIS: The Progress of Monetary, Banking and Payment System Quarter III - 2011

2012 ◽  
Vol 14 (2) ◽  
pp. 103-105
Author(s):  
Author Team of Quarterly Report Bank Indonesia
Keyword(s):  
Interest Rate ◽  
Financial Market ◽  
Economic Performance ◽  
Negative Impact ◽  
The Other ◽  
Inflation Target ◽  
Inflation Expectation ◽  
Slowing Down ◽  
The Interest Rate ◽  
The Impact

The Board of Governor Meeting of Bank Indonesia on October 11, 2011 decided to lower the BI rate by 25 bps to the level of 6.5%. Bank Indonesia will also maintain the stabilization of Rupiah particularly from the impact of global financial market shock. The decision is in line with the inflation expectation of below 5% on current and next year. Furthermore, these policies are meant to anticipate and to mitigate the negative impact of the global economic and financial slowdown on Indonesian economy. Looking ahead, the Board of Governor will continue to evaluate the global economic and financial performance and use the interest rate as well as the mix of monetary and the other micro prudential policies to mitigate the possible slowing down of Indonesian economic performance, especially on achieving the inflation target of 5% + 1% in 2011 and 4.5% + 1% in 2012.

scholarly journals The Impact of the Development of the Mortgage System on the Availability of Residential Real Estate

2020 ◽  
Vol 30 (2) ◽  
pp. 326-336
Author(s):  
Boris Bedin ◽  
Natalya Kovalevskaya
Keyword(s):  
Real Estate ◽  
Real Estate Market ◽  
Mortgage Lending ◽  
Housing Affordability ◽  
Residential Real Estate ◽  
The Real Estate ◽  
The Real Estate Market ◽  
Points Of View ◽  
The Impact ◽  
The Relationship

The article discusses approaches to solving the problem of ensuring housing affordability, which is relevant for many countries, including Russia. The concepts of «residential real estate market» and «housing affordability» are analyzed from various points of view; criteria that characterize housing affordability are defined. The possibilities of using various methods of acquiring residential real estate in a market eco­nomy are analyzed. The features of the Russian system of mortgage lending based on a comparison of approaches to determining the affordability of housing in Russia and abroad are noted. As a key area for solving the problem of housing affordability, the possibilities of a mortgage lending system are considered. Statistical data are presented. They demonstrate the relationship between the indicators cha­racterizing the state of the mortgage lending system and the dynamics of prices in the real estate market. The relationship between the availability of mortgages and the availability of housing is indicated.

scholarly journals Housing supply, investment demand and money creation: A comment on the drivers of London’s housing crisis

Urban Studies ◽  
2017 ◽  
Vol 54 (10) ◽  
pp. 2204-2216 ◽  
Author(s):  
Nick Gallent ◽  
Dan Durrant ◽  
Neil May
Keyword(s):  
Demand Management ◽  
Housing Demand ◽  
Housing Affordability ◽  
Housing Supply ◽  
Housing Crisis ◽  
Current Crisis ◽  
Investment Demand ◽  
Money Creation ◽  
The Impact ◽  
Current Emphasis

This commentary examines the current emphasis on supply-side solutions to the housing crisis in England – building more homes to increase accessibility – against a backdrop of intensifying demand-side pressures, the financialisation of housing, and the impact of credit liberalisation and money creation on housing demand and prices. It reflects on the need to balance additional housing supply, where needed, with gradual ‘demand management’ responses that at last acknowledge the centrality of spatially unbounded investment demand and the flow of money created by deregulated banks into housing as fundamental to the current crisis of housing affordability and access.

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