For many Ukrainians, the quest for housing remains pressing, even during wartime, thanks to the introduction of the ‘єОселя’ program, which offers subsidized loans to specific citizen categories, including military personnel and healthcare workers. Yet with real estate prices on the rise, its financial viability becomes even more significant.
The real estate market in Ukraine appears to be on the rebound, but not without complications. According to Anna Laevskaya, the Commercial Director of Intergal-Bud, real estate prices are predicted to soar by 10-15% by 2025. She elaborates, "This is due to the low launch of new projects from 2022 to 2024, labor shortages, and rising construction material costs." Prices are also being driven up by inflation and increased utility bills. Consequently, the demand remains concentrated on economy and comfort class housing, with prices per square meter reaching up to $1,500.
Fortunately, the favorable conditions of the ‘єОселя’ program make housing more attainable for many Ukrainians. The government program offers mortgages for up to 20 years with initial down payments beginning at 20%. Eligible individuals include military veterans, medical professionals, teachers, scientists, security services, internally displaced persons, and others without secure housing. Notably, the interest rate starts at just 3% per annum — significantly lower than typical bank mortgage rates.
Applying for this program is user-friendly, taking about 1.5 months to complete the application process. Interested individuals can submit their applications through the government app 'Дія' and choose from participating banks, including Oschadbank and PrivatBank. Stanislav Yakyn, head of sales at the residential complex 'Озерный гай Гатное,' notes a shift in purchasing patterns with increased sales through the ‘єОселя’ program soaring to about 40-50% for some developers, compared to only 7-10% before the war. He observes, "This marks not only increased sales but also reflects changing buyer preferences, as families are increasingly opting for larger two- and three-room apartments, driven by the desire for more space, especially for those with children."
This evolution indicates greater financial flexibility among buyers, which correlates closely with broader economic trends and the changing circumstances many families face today.
Besides ‘єОселя,’ the ‘єВідновлення’ initiative also plays a pivotal role for those impacted by the conflict, as it offers compensation for lost housing. Yakyn points out, “The ‘єВідновлення’ certificate can be used as the initial down payment for the ‘єОселя’ mortgage, significantly alleviating the financial burden on buyers.” This synergy between programs offers dual benefits to applicants seeking homeownership.
Data indicate promising outcomes tied to the ‘єОселя’ initiative. Last year alone, 8,515 mortgage credits were issued, cumulatively amounting to 4.84 billion UAH. Remarkably, nearly one-third of these loans were for new housing market properties, which stimulates construction projects and broadens availability for new homes.
Despite the upward price trend, ‘єОселя’ remains one of the most accessible ways for Ukrainians to acquire homes, providing significant support to those who need it most. This program, backed by low-interest rates and government assistance, forms the backbone for many families striving for housing security—something previously out of reach.
Though beneficial, prospective users of ‘єОселя’ need to navigate specific eligibility criteria. Not every apartment qualifies under this initiative, and adherence to the requirements can be complex. Reports for example report challenges from clients attempting to secure loans from PrivatBank under ‘єОселя,’ leading to frustrations due to stringent program conditions. Observers note these complications could raise issues for potential beneficiaries trying to make the most of the opportunities offered.
Overall, the ‘єОселя’ program, amid rising housing prices, symbolizes hope and resourcefulness, allowing many Ukrainian citizens to approach home ownership with optimism, marking significant progress toward addressing the pressing housing challenges stemming from the conflict.