OREANDA-NEWS. In January-May 2016, private banks were gaining momentum in the Russian mortgage lending market with state owned credit institutions still maintaining their high profile. According to the statistics posted on the Bank of Russia website, this resulted in the shrinkage of the state banks’ share in the mortgage market to 60.0% in May from 70.1% in the same period last year.

However, no visible changes took place in the distribution of mortgage borrowers by regions. Top 10 regions of the Russian Federation in terms of the volume of mortgage residential loans (MRL) extended to borrowers in 2016, include Moscow, the Moscow Region, Saint Petersburg, the Tyumen Region, the Republic of Tatarstan, the Sverdlovsk Region, the Republic of Bashkortostan, the Khanty-Mansi autonomous area – Yugra, the Krasnodar Territory, and the Krasnoyarsk Territory.

According to the Bank of Russia, in January-May 2016, credit institutions extended 322.500 mortgage residential loans to borrowers worth 550.4 billion rubles. The volume of MRL extended in 2016 exceeded by 47.6% the volume of same period last year and was basically formed by loans in rubles.

The average weighted interest rate on MRL ruble loans extended in May 2016 remained almost the same at 12.99%.