For the sake of a down payment on a mortgage, home buyers most often sell existing real estate or save money for a long time. Banks are not yet ready to accept non-standard first installments – cars, jewelry or antiques. Even in spite of precedents.
One of the developers recently launched a pilot project with a car included in the price of an apartment. The buyer was helped to quickly sell the car and use part of the funds to buy a home, but the scheme is unlikely to take root. The trade-in of apartments has already become customary; according to the Sinitsa service, it is offered by more than half of Moscow developers. Most often, this is a quick purchase of an apartment with a discount for the sake of investing in a new building. A less common and less profitable option is when, after the buyout, the client continues to live in his apartment before moving to a new building.
The program, which allows you to transfer an apartment as a down payment, was told in Rosbank. However, banks are not ready for more non-standard contributions. Gazprombank, Promsvyazbank and VTB accept payments only in cash. In most cases, clients use savings or funds from the sale of their previous apartment for the first installment.
One of the main sources for buying housing from Russians is savings, it was noted in the analytical note of the Central Bank based on the results of the first quarter of 2021. At the same time, the number of future buyers who keep funds in the form of cash has decreased. Bank deposits remain the most popular option for savings (69%), but the share of those who invest in securities has doubled over the year (18%), the Central Bank reported, citing a survey of Raiffeisenbank.
Borrowers use savings or sell property as a down payment
Often, borrowers take a consumer loan for the first installment (before the pandemic, 10% were going to do this). “The lack of a down payment, of course, is one of the main constraints for the greater availability of mortgage lending, the penetration of which into GDP continues to remain at a low level compared to developed countries,” said Vadim Mamonov, director of the mortgage products and digital business department at Rosbank Dom.