Russian banks are exercising increased caution in approving mortgage applications due to high interest rates, making it more difficult for many to secure home loans. Despite the Central Bank’s efforts to lower the key rate, lending institutions maintain strict requirements for potential borrowers.

The current average market mortgage rate has reached 26% per annum, forcing banks to prioritize clients with high incomes and excellent credit histories.

To qualify for a mortgage, applicants typically need a down payment of at least 20%, sufficient confirmed income to cover monthly payments, and a credit burden, including the mortgage payment, that does not exceed 50% of their average monthly income.

Calculations show that a family seeking to purchase a 50-square-meter apartment may require a monthly income of 250,000 to 300,000 rubles, and even higher in major cities like Kazan or St. Petersburg.

Market mortgages are primarily accessible to two groups: those improving their living conditions by selling existing property and high-income individuals who plan to repay their mortgages quickly.

Borrowers with more modest incomes may only be approved for smaller loan amounts, forcing them to consider smaller apartments or increase their down payments.

Government preferential programs are now a key driver of the mortgage market, accounting for 82% of the total volume of issued mortgage loans in the first quarter of 2025.

Popular programs include the Family Mortgage, available to families with young children or those living in specific regions, offering a rate of 6% per annum.

The Mortgage for IT Specialists is another option, requiring a salary threshold and employment in an accredited IT company, also with a 6% interest rate.

The Far Eastern and Arctic Mortgages offer rates as low as 2% for residents of those regions.