The number of transactions on the real estate market in Ukraine in the first three quarters of 2025 increased by only 7% and amounted to 238,000. The most active regions are Kyiv and Kyiv Oblast, Dnipropetrovsk Oblast, and Kharkiv Oblast. At the same time, the share of mortgage transactions on the market as a whole remains low—2-3%, according to data from the National Bank of Ukraine.
This is stated in an article by the Center for Economic Research and Forecasting “Financial Pulse.”
According to the National Bank of Ukraine, as reported in the Financial Stability Report, in Q1-Q3 2025, the number of transactions in the real estate market increased by only 7% compared to the same period in 2024 and amounted to 238,000 transactions. The largest number of transactions was recorded in Kyiv and the Kyiv region (19,100 and 17,000, respectively), as well as in the Dnipropetrovsk and Kharkiv regions (16,800 and 14,000, respectively).
Ukrainians predominantly purchase apartments, accounting for approximately two-thirds of transactions. At the same time, the greatest demand is concentrated on small and relatively inexpensive housing on the secondary market: the average area of an apartment is 38 square meters, and a house is 70 square meters.
The secondary market continues to drive the market, which is logical in the context of war: people are looking for simpler, more understandable, and cheaper solutions, while demand in the primary market is held back by security risks and the gap between what is offered for sale and what buyers want to get for their money,” comments Dilara Mustafayeva, head of the analytical department at Financial Pulse.
As noted in the article, the active development of the residential real estate market in general is hampered by high security risks and problems with electricity due to the destruction of energy infrastructure. An additional factor is the increase in the scale of damage to housing: during the first nine months of 2025, twice as much housing was damaged by air strikes as during the same period in 2024.
In the primary market, supply is replenished mainly due to the completion of long-delayed residential complexes, as developers lack funds amid low demand for real estate in unfinished projects. New projects are more often launched in western regions, which are considered safer, and it is there that prices have risen the most during the full-scale war.
According to LUN, as of February 2026, the highest average cost of one-room apartments on the secondary market was recorded in Kyiv, Lviv, Uzhhorod, Chernivtsi, Rivne, and Lutsk, and the lowest — in Zaporizhzhia and Mykolaiv.
At the same time, mortgages do not yet determine the overall state of the housing market: the share of transactions using mortgage loans in Q1-Q2 2025 was 2%, and in Q3 it increased to 3%.
“If we look at the market as a whole, mortgages are not yet a major driver of sales. They are more noticeable in the new housing segment, where one in five apartments is purchased on credit. However, this trend is mainly due to the ‘єОселя’ program,” notes Dilyara Mustafayeva.
The article also notes that in the primary market, mortgage-backed home purchases account for 60% of the total volume, and about 44% of transactions are concluded for ready-built housing from developers. Mortgages for housing still under construction are growing more slowly.
According to the NBU, mortgages were most actively used in 2025 in the Kyiv region (the ratio of new mortgage loans to purchase and sale agreements was 8.8%). Next are the Volyn region (5.2%), Ivano-Frankivsk (4.7%), Kyiv (4%), and Rivne region (3.4%). The main borrowers remain military personnel and law enforcement officers (almost 40% of new mortgages in 2025), with IDPs accounting for about 10%.
The text separately assesses the affordability of purchasing housing using the price-to-income indicator. In Kyiv, as of November 30, 2025, this indicator was 8.6 years (compared to 9.8 years as of November 30, 2024). However, even after the decline, this level of the indicator still indicates low affordability of home purchases without loans: on average, a family needs to spend all of its income for more than 8 years.
For safe loan servicing, as noted in the Financial Pulse article, the monthly payment should not exceed 40% of the family’s income. According to NBU calculations, to service preferential loans under the “єОселя” program, an income of about UAH 30,000 per month is sufficient for a 3% rate and about UAH 42,000 for a 7% rate. At the same time, loans at market rates require significantly higher incomes: in particular, to service a loan at 18%, about UAH 84,000 per month is needed, while the average salary in Ukraine in December 2025 was about UAH 31,000.
“It is precisely the gap between the income required for a ‘market’ mortgage and the real income of most households that narrows the circle of borrowers and hinders the development of the mortgage market. Even in the scenario of a possible reduction in the discount rate in 2026, the availability of market mortgages is estimated to remain moderate,” emphasizes Dilyara Mustafayeva.
In December 2025, the government adopted Resolution No. 1637, which updated the rules for participation in the “eOselya” program: the state narrowed the list of categories eligible for preferential rates and also limited the range of housing that can be purchased with preferential loans (focusing on relatively inexpensive housing). It also provides for remuneration to banks for working with borrowers and the subsequent transfer of the mortgage portfolio to the company Ukrfinzhytlo, while support for the remaining clients is planned to be provided through partial compensation of interest payments.
According to the authors of the article, the tightening of the program’s conditions will mean a narrower choice of housing within the scope of “eOselya,” and some borrowers who do not meet the updated requirements will turn to commercial banks, which could potentially support the development of the mortgage market.
“At the same time, due to the war and the limited financial capabilities of the population, demand will remain subdued in the near future, and cooperation with developers to create acceptable mortgage conditions could become a competitive advantage for banks,” concludes Dilyara Mustafayeva.
Reference:
The public organization “Center for Economic Research and Forecasting ”Financial Pulse” was established on March 2, 2015, with the aim of uniting the efforts of participants and experts in the Ukrainian financial market for its development and improvement.
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Improving the quality of the regulatory framework governing the financial market and eliminating regulatory issues that hinder its full development
Increasing the transparency of financial institutions
Developing new market instruments and mechanisms, including through the introduction of best international practices
Improving the financial literacy of the population
Promoting economic reforms, including through financial decentralization
Promoting the development of entrepreneurship, etc.
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