The Government is developing new mortgage

Late last week, Deputy Prime Minister and concurrently Minister of Finance Alexei Kudrin said that the Agency for Housing Mortgage Lending (AHML) in October 2008 will increase the share capital by 60 billion rubles. Then, this information was confirmed by Prime Minister Vladimir Putin. According to estimates, "Indicators of the real estate market," financial investments in HMLA mogutt lead to a dramatic change in the situation in the mortgage market in the direction of at least stabilization of lending at current levels. It should be noted that over the past 12 months HMLA refinanced mortgages by about 31 billion rubles. And this is not a very good indicator, as from 1 September 2006 to September 1, 2007, the volume of refinanced mortgages totaled almost 42 billion rubles. The reduction in refinansirvoaniya have felt, above all, regional banks, where the volume of mortgages has been the most significant. How to write an analytical center www.irn/ in the article "HMLA received financial support", HMLA has cut back mortgage refinancing since the beginning of 2008, shortly after the foreign markets because of the growing liquidity crunch have tightened terms of placement of bonds. For it is through them HMLA until recently received new funds for the refinancing of Russian mortgage banks. However, after the government's decision in the statutory fund HMLA will be new funds, which will last a minimum of 1.5 years to refinance the mortgages of regional Russian banks. With this in mind, we can safely expect that the rules of the game in the mortgage market again become less stringent. It should be noted that the housing market is significantly different from the stock market. Last after receiving state financial aid was enough 1 day to return to previous levels. Mortgage market would require at least a month, and even a quarter. Meanwhile, the housing market is already the third week of stagnation reigns, followed by a liquidity crisis for many players. As far as you have enough patience to wait for potential buyers to improve credit conditions, time will tell. And who knows how to be spending money AHML. At the same time, other things being equal, most Western economists expect improvement in the international economy over the next 2 years. But if the mortgage lending will remain at current levels, then an additional 60 billion rubles., Placed at the disposal of AHML, just enough for these 2 years. Of course, if the terms of lending improve, then we can expect that the volume of issuance will be back to previous levels. However, judging from recent statements by the head of Alexander HMLA Semeniako, we can conclude that the company will retain the conservative tendencies of the refinancing of mortgage loans and, in general, is not configured to facilitate conditions for the issuance of new bank facilities, and this naturally affects the credit conditions of ordinary citizens. At the same time it should be noted that the issue of the state for additional funds HMLA will allow it to keep aside today the volume of refinancing mortgage loans, while more recently it was a question to further harden the terms of the banks money. As a result, mortgage lending could fall even more. As he wrote, "Indicators of housing market" in the article "Housing will fall in price due to reduction of the mortgage," a sharp reduction in the mortgage could lead to a fatal drop in prices in the housing market. Given the same occurrence of significant additional resources and a reduction in mortgage lending relative to last year's level, we can say that if the current mortgage lending, home prices will decline gradually.