Due to the reform of the eOselya program, the number of mortgage loans issued this year is 37% below last year’s figures.


According to the NBU, Ukrainian banks issued 599 mortgage loans in May for a total of ₴1.09B, which is one of the highest monthly totals since the start of the year and 31% more than in April, but 37% less than in May last year.
Twelve out of thirty-nine surveyed banks issued 352 loans totaling ₴639.6M for purchasing housing in the primary market, of which 106 loans worth ₴187.2M were secured by property rights to future property. The remaining 247 loans worth ₴451.1M will be used by clients to purchase secondary real estate. The weighted average effective rate was 8% annually in the primary market and 10% in the secondary.
According to the NBU, the portfolio’s quality remains acceptable, with about 15% of mortgages classified as non-performing. The largest number of loans went to residents of the Kyiv region, Kyiv city, Lviv region, Ivano-Frankivsk region, and Dnipropetrovsk region. It is expected that the mortgage market will gradually improve.
However, compared to last year there is a significant decline, likely due to restrictions on issuing mortgages under the “eOselya” program for secondary housing, which should not exceed three years.