The Ministry of Construction spoke about housing prices due to the extension of preferential mortgages

The extension of preferential mortgages for new buildings will not lead to a new increase in housing prices. This was announced by the Minister of Construction and Housing and Public Utilities of RUSSIA Irek Fayzullin within the framework of the St. Petersburg International Economic Forum (PEF-2021), TASS reports.

“I don’t think that the decision to extend preferential mortgage programs will become some kind of driver for another rise in housing prices,” he said.

In his opinion, the development trends of the housing market in 2021 show that the country is moving towards stabilizing the balance of supply and demand.

Fayzullin believes that the previous price increase was due to preferential programs and the consequences of the pandemic. He added that due to the spread of covid-19, the cost of resources in housing construction has increased, the influx of migrants has decreased, and some construction projects have been suspended in several regions of the country last year.