In July 30% of issued mortgage loans are issued within the state program
of mortgage subsidization, the report of the brokerage company TBC-Capital on
the situation in the Georgian real estate market says.
"Mortgage lending in the last week of July decreased by 6% in comparison with the same period of last year but increased by 18% in comparison with the previous period," the report says.
In the words of the TBC chief economist Otar Nadaraya, the crisis hit people with low incomes, who can’t take a mortgage to buy apartments. This also contributes to the growth of mortgage lending.
Nadaraya adds that the real estate business will surely recover on its own, but state support will boost the process.