Ruginienė: Support for first homes needs to increase

Inga Ruginienė, a proponent of housing accessibility, is calling for enhanced support for individuals purchasing their first homes in Lithuania. She highlighted that while 940 families have received assistance this year, an additional 300 families are still awaiting aid.

To ease the financial burden on new homeowners, the initial down payment required for a mortgage will be reduced. Effective August 1, this requirement will drop from 15% to 10% of the property value. This adjustment aims to make homeownership more attainable for a larger segment of the population.

Ruginienė also commented on the impact of pension reforms on housing prices, suggesting the effect has been minimal. She noted that only a small fraction of funds withdrawn from pension accounts were used for loans or immediate expenses, with most remaining in savings. Data from the Bank of Lithuania indicates that 16% of withdrawn pension funds were cashed out, while the majority were retained.

Meanwhile, housing prices in Lithuania have seen a significant increase, rising by 16% over the past year. This surge in property values underscores the importance of measures aimed at supporting first-time buyers.