Governor Misharin calls for 10% down payment on mortgages

Governor of Sverdlovsk Region Alexander Misharin announced to the local bankers that mortgages need to become more affordable. The executive said in the course of his visit to Kamensk-Uralskiy that he hoped to make the interest rate on mortgages drop to 11% a year.

The Governor feels the region’s banks should also decrease the down payment to 10% of the total loan sum. In fact, Russian President Dmitriy Medvedev has already promised to make the interest rates go down. The president declared the rates should come to 6% to 8% a year.

‘We’ll keep on gradually reducing the interest rates on mortgages; they are too high at the moment, so if we manage to go back to the ante-recession figures at least, this could already work. I believe 10.5% to 11% a year is already good enough for Russia, but most of the world feels the best rate is 6% to 8% a year,’ the President announced during his visit to Tomsk.