Mortgage Rates ~ Mortgage And Financial Issues Blog

More recently, banks have reduced mortgage interest rates and did not rule out that the end of the year can reduce. But the hopes of those mortgage borrowers who are already in the near future expected to see more affordable loans, did not come true. Rates again started to grow.
Mortgage rates, before declining for several months, in March began to grow. 0.4% raised rates on the mortgage Bank "VTB 24". On average, 1 % increase in the rate of mortgage crediting in Gazprombank.

The increase in mortgage rates was fully expected and explained in credit institutions. The cost of money to borrowers depends on the cost of funds for banks. Increasing the cost of money for banks is becoming more expensive loans for borrowers.

In early March, the Central Bank increased the key rate by 1.5% to 7 %. And the representatives of the Bank "VTB 24" said: if in the near future the situation will not change, we can expect increasing interest rates on loans for borrowers.

That the Bank reduces its own yield financing in the current environment at 12% per annum, representatives of Gazprombank said in a press conference at the end of February. "Banks are interested in the stimulation of demand for mortgage products, — said the head of additional office "Central" branch of "Gazprombank" in Krasnoyarsk Svetlana Karmanova, although the falling ruble and rising cost of resources for banks, crediting under 12%, we cut our margin profitability. The Bank is on the decline of profitability to support client thread".

In March, Gazprombank increased the mortgage rates. "Raising interest rates has touched absolutely all credit products. On average, rates increased by 1 percentage point, commented on the changes the chief of Department of crediting of physical persons of branch "GPB" (open society) in Krasnoyarsk Dmitry Teplov.

It is connected primarily with the overall situation on the market in the last few months the value of cash has risen (increased rates of attraction), which was reflected on the rates on loans". Now the big players in the real estate market could be followed by other banks.