Decline in mortgage lending has forced developers to apply to the bankers to intensify the issuance of loans for housing purchase, otherwise a lot of projects will be frozen. Also, builders are assured that the fall in the real estate market drags along and the banking sector. But financial institutions do not pay attention to these threats, since mortgage loans in bank portfolios constitute an insignificant share.
Builders say "must", the bankers said "no"
"Give us credit, we will begin to build, say builders. But this is no time parade, we must tighten their belts, otherwise everything will end collapse, - the president of the Ukrainian Association of Banks (AUB) Alexander Sugonyako. Banks stopped lending to actually construction in progress, mainly mortgage loans are for housing purchase in the secondary market. The loan terms have decreased, interest rates rose. Mortgage has become inaccessible to the middle class.
"Financing of the primary real estate market more risky. Lined up such schemes invest in the construction of that due to the same fund, financed several real estate. Standardization of mortgage portfolios low, "- said the executive director of the Ukrainian National Mortgage Association (UNIA) Alex Pylypets.
Note that the legislation authorizes funds finance the construction of investing in an unlimited number of objects. Funds may be to throw money from one object to another, patching holes and covering the financial failures in the financing. As a result of confusion on the construction of the last object may not be enough.
Two banks of a river
The last 9 years, the banking system is actively growing at the expense of lending. In other countries, similar trends were observed up to 6 years, after which a crisis. Risks are too high credit growth could escalate into serious problems for the macroeconomy and the banking system. But thanks to the international financial crisis in Ukraine has begun a soft landing.
"Now we have a controlled deceleration of credit growth by the Ukrainian banks, which is necessary for a stable system", - said in AUB. Borrowing in international markets declined for obvious reasons. Internal sources also do not allow to expect a stable funding. Less attention attracted by issuance of mortgage bonds. And without a secondary market for mortgages - is kvazirynok. Pension reform, which resulted in banks could be sources of funding stalled. Nevertheless, according to an UNIAN correspondent, in the first quarter of 2008, new mortgage loans issued by 7,9 billion UAH.
According to the director of marketing for SV-Development Vladimir Stepenko, now the real price is $ 2-2,5 thousand for the quarter. m. Therefore, firms which have established rates above that mark would be to reduce. Others simply freeze. Eric Naiman, head of investment banking services Ukrsotsbank, believes that people who have already invested money may be faced with yet another nuisance: construction companies, claiming their actions lack of funds, may be asked to pay. He did not rule out the bankruptcy of several construction companies.
Pessimists say that by the end of the year may appear frozen construction. The Fall of the construction market drags along the banking sector. Bankers is excluded. They say that the volume of mortgages are insignificant. Mortgage loans in banks' portfolios is 15%. In addition, only 10% - loans for housing construction, others - secured by real estate.