{"id":139599,"date":"2022-05-03T16:52:18","date_gmt":"2022-05-03T16:52:18","guid":{"rendered":"https:\/\/armbanks.am\/2022\/05\/03\/250309\/"},"modified":"2024-12-15T13:47:23","modified_gmt":"2024-12-15T13:47:23","slug":"armenias-mortgage-market-shows-signs-of-overheating","status":"publish","type":"post","link":"https:\/\/armbanks.am\/en\/2022\/05\/03\/139599\/","title":{"rendered":"Armenia&#8217;s mortgage market shows signs of overheating"},"content":{"rendered":"\n<p><strong>YEREVAN, May 3. \/ARKA\/.<\/strong> Armenia&#8217;s Central Bank has recorded signs of &#8220;overheating&#8221; in the local\u00a0\u00a0mortgage market, Chairman of the Central Bank Martin Galstyan said today. According to him, 36% growth was registered in mortgage lending last year.<\/p>\n\n\n\n<p>The head of the Central Bank said that real estate prices and mortgage lending showed similar growth trends, exhibiting complementary behavior.<\/p>\n\n\n\n<p>According to the regulator&#8217;s data, new mortgages loans in Armenian drams account for 70-80% of all such loans.<\/p>\n\n\n\n<p>Galstyan said in order to respond to the mortgage market risks in the most efficient and targeted way, the Central Bank introduced a more stringent LTV requirement, which is widely used in international practice: a higher LTV level was set for foreign currency mortgages (90% for AMD mortgages and 70% for FX ones).<\/p>\n\n\n\n<p>Director of the Central Bank&#8217;s Macroeconomic Department Armen Nurbekyan, in turn, said that currently the Central Bank does not see decline in the mortgage market&nbsp;and both&nbsp;demand and supply in the construction market remain high.<\/p>\n\n\n\n<p>According to Galstyan, the ability of banks to absorb risks has also improved, in particular,&nbsp;&nbsp;both capital and liquidity buffers have grown.<\/p>\n\n\n\n<p>&#8220;Significant growth of currency liquidity is indicative,&nbsp;&nbsp;resulting not only from the 2021 perfromance, but also from&nbsp;&nbsp;targeted the long-term policy of the Central Bank,&#8221; he said.&nbsp;-0-<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Armenia&#8217;s Central Bank has recorded signs of &#8220;overheating&#8221; in the local\u00a0\u00a0mortgage market, Chairman of the Central Bank Martin Galstyan said today. According to him, 36% growth was registered in mortgage lending last year<\/p>\n","protected":false},"author":1,"featured_media":197625,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","tstyn_error":""},"categories":[9214,9216],"tags":[],"class_list":{"0":"post-139599","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-banks-en-en","8":"category-news"},"acf":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/139599","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/comments?post=139599"}],"version-history":[{"count":0,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/posts\/139599\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media\/197625"}],"wp:attachment":[{"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/media?parent=139599"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/categories?post=139599"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/armbanks.am\/en\/wp-json\/wp\/v2\/tags?post=139599"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}