VTB increased mortgage issuance by a third

In May 2020, VTB issued 24.7 thousand mortgage loans worth RUB 62.4 billion, increasing sales by 34.5% compared to May 2019. Since the beginning of the year, the volume of mortgage loans issued by VTB has reached 311.4 billion rubles, which is 23% higher than in January-May 2019. In April, VTB’s share in new issuances in the housing loan market in Russia reached a record 28.7%*.

The total number of applications for VTB mortgage in May of this year was 29% higher than in April and reached the maximum values ​​of October, one of the highest months of last year in terms of demand. The sales volume is already comparable with the result of February this year (63 billion rubles) and is 7% higher than in April (58.3 billion). March remains the record month for the volume of loans this year.

One of the main factors that made it possible to restore demand for mortgages was the state support program with a rate of 6.5%. According to the results of April-May, VTB clients have already carried out more than 8.6 thousand mortgage transactions for 25 billion rubles. It occupies 29% of the total volume of bank loans. Today, every second mortgage with state support in Russia is issued by VTB.

“The mortgage market is recovering from the pandemic faster than other consumer lending segments. VTB did not reduce sales compared to last year even in April, and already in May we resumed intensive business growth. In many ways, this is facilitated by the state-supported mortgage launched by the country's leadership - today it accounts for a third of our total sales, - comments Evgeny Dyachkin, Deputy Head of the VTB Retail Business Department.

According to him, the self-isolation regime, which was maintained in many regions in April-May, accelerated the launch of digital mortgage products on the market: “In the spring, we conducted completely remote mortgage transactions - residents of Moscow, St. Petersburg, Tyumen, Novorossiysk used the new service. This project will continue to expand to our network as the opportunity to buy an apartment without leaving home should be retained by citizens even after the lifting of restrictive measures,” Yevgeny Dyachkin stressed.

* According to the data of the Central Bank of the Russian Federation for April 2020.