S&P sees Russian housing price growth to start in 2017, 2018

MOSCOW, Nov 17 (PRIME) – Russian housing prices will start to grow slightly in 2017 and in 2018, international rating agency Standard & Poor’s (S&P) said in a research note on Thursday.

The growth will be slow, and in real terms it will still mean a decrease, although support measures on the primary housing market will also support restoration of the secondary market, the agency said.

The Russian housing market is still weak despite all support measures and active construction of new housing, which softened the shock from the unfavorable economic situation. The closing of the state program for support of mortgage will not destabilize the market, but interest rates are still high, and incomes of citizens are not growing, so the market’s restoration will take time, S&P added.

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