The Central Bank of Russia published its review of project finance in housing construction for 2025 Q3, reporting that banks’ project finance lending to developers rose 8% quarter on quarter (up RUB 0.7 trillion) to more than RUB 10 trillion, supported by an increase in new projects and a rebound in housing demand. The value of flat sales under equity construction agreements increased 18% quarter on quarter in monetary terms. As of 1 October 2025, the total value of equity construction agreements reached RUB 8.7 trillion and escrow account balances stood at RUB 7.2 trillion, with the gap mainly reflecting outstanding obligations under developer instalment plans. That gap narrowed by 1 percentage point to 17%, the first decline since early 2025, which the review links to improved mortgage affordability reducing reliance on additional sales instruments. Loan disbursements continued to outpace escrow inflows, lowering escrow coverage of project debt by 1.4 percentage points to 69%. The weighted average interest rate on loans to developers fell to 10.2% (down 0.5 percentage points) versus 16.8% for corporate loans overall, although two federal districts recorded higher rates of 11.8%–13.3% where escrow coverage was 54%–64%.

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