Low-rise Russia: what is an ideal house and what is the demand for such housing :: Zagorod :: RBC Real Estate
We tell you what an ideal house is in the mind of a potential buyer and how it will promote the mortgage market in Russia
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Russia has expanded the preferential mortgage program. Now it will also affect private houses, loans for the purchase and construction of which can be taken at 7% per annum. Banks are already starting to join the state program of concessional lending for individual housing construction (IHS).
Russians’ interest in private houses is growing. Over the year, the number of families dreaming of their own home by according to the survey VTsIOM, increased by 1.7 million – from 71% to 73%. Anti-coronavirus restrictions contributed to the growing demand for individual houses: Russians began to value more the opportunity to walk in the fresh air.
Anton Finogenov, Deputy General Director of the Dom.RF Foundation:
– Covid restrictions and related changes not only in the format of work, but also in the lifestyle, lead to the fact that suburban real estate has become popular. Many Russians are even considering the option of permanent residence outside the city. This is primarily due to changes in labor markets and the fact that many have the opportunity to work remotely or on a more flexible schedule.
Where do Russians want to live?
According to a joint survey by Dom.RF and VTsIOM, there are 61.7 million families in Russia. These data differ from the official ones. How showed the last population census in 2010, in Russia 54.6 million private households… From the poll poll “Dom.RF” and VTsIOM it follows that 65% of Russian families live in houses, and 35% – in individual houses. Twice as many families would like to live in individual houses – 73% of the respondents said about it.
To implement this scenario, it is necessary to form a liquid and standardized individual construction, carried out under contracts of shared participation of citizens on an escrow account, according to Dom.RF.
Photo: Marina Pochueva shutterstock
As believed
The survey involved 5,700 respondents aged 18 and over who are involved in making important financial decisions in the household. Sampling error is not more than 1.4%. The survey was conducted in the summer of 2021. Data on the ideal housing format is provided based on the results of a survey conducted in July 2021 (1.6 thousand respondents aged 18 and over throughout Russia).
Ideal housing format
The most popular format is a house with an area of 80-120 sq. m with four rooms or more. Such parameters, who buy or build a country house in a five-year perspective. 52% of respondents would like to live in a two-story house, another 41% are ready to be content with one floor.
By the type of foundation of the future home, attracting buyers do not yet have a clear favorite. Slab (reinforced concrete), pile and strip foundations were chosen by 26% -27%. The rest of the respondents were either undecided, or consider it unimportant what the foundation will be. But when choosing materials for the future home, respondents preferred stone houses.
Desired material for the walls of the house,% of those who have a need for ind. 5-year prospect, perhaps a house of 2 answers:
Photo: Dom.RF, VTsIOM
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Vadim Fidarov, Director of work with the relevant state authority, the Association of Wooden Housing Construction (ADD):
– The preferences of those who have already decided to move to a private house in the next year or two. Thus, 57% of respondents in the Dom.RF study who would like to live in a house from home, after studying the estimates, will probably have to choose other materials, for example, aerated concrete. But it is surprising that the result of the survey about 40% who want to build a house from wooden structures coincides with the actual share of wooden housing construction in the total volume of cottage construction in Russia. Also, the assessment of preferences for the area of houses and the number of houses is close enough to the current actual indicators.
For what purposes are private houses built
Almost everyone is planning to buy or build an individual house for permanent residence of their family or relatives. The study notes that only 1% of families plan to use the house for rent or consider it an investment (from the first resale). 3% of respondents consider buying or building a house as a dwelling for seasonal living.
Photo: Dmitry Sedakov shutterstock
Infrastructure and transport accessibility
Active development of a remote work format, which does not require traveling to offices, an ever-expanding growth driver in individual homes. However, a developed transport and social infrastructure is required for a full life and work.
According to the survey, 89% of families are ready to spend no more than 1 hour on the trip from home to work, but the ideal time for 67% is half an hour.
Key requirements for the infrastructure of mobile devices, as well as shops and services (55%), playgrounds and recreation areas (40%), public transport stops (38%).
Desired objects near the house,% of those who have a need for ind. House in a 5-year perspective, multiple answers possible
Photo: Dom.RF, VTsIOM
Anton Finogenov, “Dom.RF”:
– Despite the growing demand for individual houses, topical issues of the quality of housing construction, the availability of loans for individual housing construction and the provision of high-quality infrastructure – transport, engineering and social, says Anton Finogenov. In all these areas, Dom.RF, together with the Ministry of Construction, is actively working. This is the holding of a competition for standard projects in the field of individual housing construction, and the introduction of mortgages, and project financing, and infrastructure bonds.
Mortgages will become the main way to buy private homes
According to calculations by Dom.RF, the demand for the purchase of individual houses may amount to 2.3 million units in a five-year perspective. Annual demand – 460 thousand per year, about 1.5 times higher than the current input (about 300).
Housing improvement plans
In total, 17.8 million families are planning to improve their living conditions in a five-year perspective:
- 7.1 million families have a need to buy or build an individual home.
- 6.3 million families want to buy an apartment
- 4.4 million housing improvements with other services (rent, inheritance, etc.)
Photo: Dom.RF, VTsIOM
Sources: VTsIOM, DOM.RF calculations.
At current rates (from 10-11%), more than 88 thousand families are not ready to use mortgages for the construction of an individual house (4% of the demand for building a house). With lower rates and preferential credit programs, this demand will be much higher. So, according to the calculations of “Dom.RF”, at a mortgage rate at 8-9% loans are ready to use 800 thousand rubles. families (160 thousand per year):
- 200 thousand families already planning to build their own home;
- 600 thousand families who do not consider building a house due to the lack of an opportunity to obtain a mortgage at rates comparable to the level of rates for apartments.
The potential volume of the mortgage market for individual housing construction, according to forecasts of “Dom.RF”, may grow six times – up to 19% of the total demand for the construction of individual houses. On the terms of the obligatory involvement of a contractor in the construction of a house, a mortgage loan is ready to issue 540 thousand rubles. families (108 thousand per year) – 69% of those who would like to take such a mortgage in the event of launching the program 8-9%, the study notes.
Mortgage will support demand
Vadim Fidarov, ADD:
– Mortgages for individual housing construction at a rate of 6-9% will support demand and become one of the drivers for the development of low-rise housing construction in general. Such a measure is especially relevant now, due to a sharp rise in prices for building materials, a large number of customers took one position, many clients of the middle price segment were forced to reduce the area of houses, simplify projects, and reduce the cost of packaging. These factors in the economy segment, in addition to the rise in the cost of building materials, lead to an increase in the average area of orders and the average check.
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