Demand for mortgages in Ukraine has risen to a record level since the beginning of the war
22 April 08:57
In the first quarter of 2025, the demand for mortgage loans in Ukraine reached its highest level since the start of the full-scale invasion. Such data was released by the National Bank of Ukraine on the basis of its regular survey on bank lending conditions, "Komersant Ukrainian" reports
According to the survey, some large banks reported a significant increase in interest in mortgages.
“The results of the survey recorded an increase in household demand for loans in the first quarter. Some large financial institutions reported an increase in demand for mortgages, making the balance of responses the highest since the start of the full-scale invasion,” the NBU said.
The main reasons for the growth in demand
Among the key factors that contributed to the revival of the mortgage lending market, the banks identified:
- Improved consumer sentiment.
- Increased spending on durable goods.
- Optimistic forecasts for the real estate market.
- Lower interest rates, which made mortgages more affordable.
The role of the “eHouse” program
The “eHouse” program aimed at supporting housing lending has played an important role in stimulating demand.
However, according to NBU First Deputy Governor Kateryna Rozhkova, the program needs to be improved to increase its effectiveness.
Challenges and competition
Despite the positive dynamics, some banks noted that competition between financial institutions partially restrained demand growth.
High competition is forcing banks to offer more favorable terms, which at the same time makes it more difficult to attract new customers.
Forecasts for the second quarter of 2025
The majority of survey respondents predict further growth in demand for mortgages and consumer loans in April-June 2025.
Favorable economic conditions and the stability of the real estate market are expected to continue to support this trend.
What will happen to eOselya next?
The NBU does not propose to cancel the program – on the contrary, eHouse will remain an important tool in the long run. However, it needs to be adapted to the realities: to make it more flexible, cheaper for the state and more attractive to banks.
“There will definitely be a mortgage strategy and a strategy for Ukrfinhousing. We have already started working on these issues and plan to approve the relevant changes by the middle of the year at the Financial Stability Council,” Rozhkova summarized.
No specific timeframe for revising the terms has been announced yet, but the Affordable Mortgage Forum was the first step toward a broader discussion of the changes.
