The average term of a mortgage loan in January of this year for the first time in history reached 20 years. This is stated in the message of the service for the “smart” selection of financial services from the United Credit Bureau – Kredistoriya, which has information on approximately 97% of bank borrowers in Russia.

“By the end of December 2021, the average term of mortgage loans was 238 months, and by the end of January it had grown to 242 months (20 years and 2 months). A year ago, in January 2021, Russians took mortgage loans on average for 208 months (17 years and 4 months),” the message reads. According to the service, such an average mortgage loan term was recorded in Russia for the first time.

“Back in 2019, mortgage loans were taken out for an average of 15 years. Since last year, due to an unprecedented increase in real estate prices, the average loan size has grown significantly. Recently, interest rates have also begun to rise. Salaries, even in nominal terms, have grown slightly, therefore, in order to maintain the size of the monthly payment at an acceptable level, borrowers had to increase the loan term to 20 years,” commented Artur Alexandrovich, General Director of the United Credit Bureau, whose words are quoted in the message.