ArmInfo. The real estate market in Armenia continues to be overvalued, as stated by Umang Rawat, the IMF Resident Representative in Armenia, during an event on the fund's report "Caucasus and Central Asia: Economic Outlook and Policy Challenges".  In this context, he noted that according to the IMF and the Central Bank of Armenia, real estate prices in the country could be 30% lower.

ArmInfo.The overheating of prices in the Armenian real estate market may have ranged from  20-30%. This was stated by Governor of the Central Bank of Armenia Martin Galstyan on May 10, during an event held in Yerevan over the "Perspectives of Regional Economic Development" IMF report, referring  in this regard to the Central Bank's Report on Financial Stability.

ArmInfo.There are currently no reasons for concern regarding the growth of consumer lending in Armenia. Deputy Governor at Central Bank of Armenia Armen Nurbekyan said, answering questions during a panel session at the economic forum organized by Amundi-ACBA Asset Management, the pension fund  management company.

ArmInfo.Mortgage loan debt per capita in Armenia for 9 months of 2023 amounted to $861 per person. The volume of the mortgage burden in the country is lower only than the indicators of Russia ($1397), ($1397), but significantly exceeds the indicators of Kazakhstan ($597), Belarus ($487), Azerbaijan ($198), Uzbekistan ($132) and Kyrgyzstan ($47).

ArmInfo. The Armenian government is withdrawing from the mortgage loan income tax refund  program, but in return, similar tools will be introduced as part of the income declaration mechanism. Armenian Minister of Economy Vahan Kerobyan told reporters during a briefing on November 22.

ArmInfo.

ArmInfo.If the exchange rate does not contribute to the expansion of the exportable sectors of the economy, the Central Bank will have no choice but to start relying on the Government. Former Minister of Finance of Armenia, director of the Institute of Economics and Business of the RAU, Doctor of Economics. Edward Sandoyan expressed a similar opinion during the RAU Global Forum. In such a case, as the economist further noted, the authorities will have to use fiscal mechanisms to stimulate exportable sectors of the economy.

ArmInfo.From now on the borrowers of Converse bank will be able to enjoy not only competitive interest rates, but they will also have the opportunity to get new real estate and accidental damage insurances.

ArmInfo.The upward trend in real estate prices and rising interest rates will reduce the pace of mortgage lending growth. This is the opinion of the analysts of the  AmRating National Rating Agency affiliated with ArmInfo, referring to  the extremely high growth rates of the mortgage market, which reached  42% in y-o-y terms.

ArmInfo. The financial authorities of Armenia, represented by the Ministry of Finance of  Armenia, are in favor of the gradual abandonment of the income tax refund program within the framework of mortgage lending in Yerevan. Corresponding amendments to the tax code of Armenia were approved at a government meeting on August 12.

ArmInfo.

ArmInfo. In 2021, the growth of the mortgage market will be recorded in Armenia, mainly due to the growth of lending for the purchase of real estate. This hope was  expressed by the Chairman Union of Banks of Armenia, Chairman of the  Ardshinbank Management Board  Artak Ananyan.

ArmInfo. The state should  help stabilize the real estate market.  The founder of the Banking  Management School Ashot Osipyan told about this on December 9 during  a zoom conference organized by the Economic Journalists Club.

ArmInfo.In Armenia, mortgage collateral transactions with land plots intensified 2-fold in August 2020 against August 2019, which was accompanied by a sharp change of  monthly dynamics from a 28.6% decline to 33.3% growth.

ArmInfo. In Armenia, pledged real estate transactions on mortgages increased by 66.4% in July, with a y-o-y decline of 20.7%, amounting to 411. According to the RA  Real Estate Cadastre State Committee, the dominant part (66.7%) was  made in Yerevan, and among the regions the most popular is Kotayk  (10.2%) and least of all Vayots Dzor (0.2%). Most of the mortgage  collateral transactions are made for apartments (270) and private  houses (83), and only 15 - on land plots.

ArmInfo. Arthur Javadyan, leaving the post of head of the Central Bank of Armenia, in his farewell address said that the coming years will be peculiar in terms of recovery and development.

ArmInfo.

ArmInfo.In Armenia, the National Mortgage Company CJSC and Home For Youth CJSC refinancing companies 0announced a deferral of mortgage payments for up to 6 months (i.e.  through September inclusive). According to the press service of the  Central Bank of Armenia, received by ArmInfo, these companies,  following the situation arising in connection with the spread of  coronavirus and aiming at assisting borrowers faced with financial  difficulties, took this step to temporarily exempt mortgage clients  from repaying the main loan amount.

ArmInfo. The Central Bank of Armenia, if necessary, is ready to provide the financial system with additional liquidity both in drams and in foreign currency. Head of  the Central Bank Artur Javadyan announced on March 16 at a meeting of  the Government of the Republic of Armenia, chaired by Prime Minister  Nikol Pashinyan.

ArmInfo. David Ananyan, Chairman of the State Revenue Committee of Armenia (SRC) advocates revising the income tax refund program in the framework of mortgage lending and reducing the cost of one transaction from the current 55  million to 35 million drams, Ananyan said at a press conference on  October 16.