russia’s Real Estate Market Is Stagnating: Mortgage Collapse, Falling Confidence, and Price Imbalance

russians are losing confidence in russian real estate as a means of saving and earning money. Compared to last year, in the first half of 2025, demand for real estate among russian citizens in Thailand increased by 29.5 %, in Cyprus – by 9.8 %, and in Türkiye – by 6.2 %.

At the same time, in the first half of this year, russian banks issued by 47 % fewer housing loans than in the same period last year. Developers reduced their investments in russian real estate by 44 %.

russians are becoming less attracted to prices in russian new buildings. In the second quarter of 2025, a square meter in new buildings averaged 205,000 rubles across russia, while on the secondary market it was 128,000 rubles. Therefore, an apartment purchased on the primary market may cost by 40 % less when attempting to sell it on the secondary housing market, which negates any investment calculations. In central regions of the rf, the price imbalance between the primary and secondary real estate markets sometimes reaches as high as 80 %.