In Russia, they want to ban buying housing for cash

In Russia, they want to ban buying housing for cash

      In Russia, they plan to ban the purchase of housing worth more than 1 million rubles for cash, according to the Unified Resource of Developers, citing Svetlana Razvorotneva, chairman of the State Duma Committee on Construction and Housing and Communal Services. As the Chairman of the Committee noted, it is planned to amend Articles 558 and 861 of the Civil Code of the Russian Federation, and limit the amount by a separate Decree of the Government of Russia. It is planned that the bill will be submitted to the deputies for discussion this summer, and it may be adopted by the end of the year.

      The Chairman of the Committee noted that the number of crimes related to the deprivation of real estate increased from 6 thousand in 2022 to 8 thousand in 2023, and the damage caused to citizens increased from 32 to 42 billion rubles. The ERZ website noted that in the Russian market, from 10% to 15% of transactions for the sale and purchase of real estate between individuals are carried out in cash, while in the USA, Canada, Europe, China and a number of other countries — only for non-cash. Alexander Popov, head of the Russian Union of Real Estate Market Participants, noted that the bill is aimed at increasing the transparency of transactions and minimizing fraudulent schemes in the real estate market. He said that "I am not against selling for cash through bank transfers, since everything is transparent here, but it is extremely unsafe to transfer "paper money" from hand to hand, when they are brought in bags or transferred through bank cells."

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In Russia, they want to ban buying housing for cash

Transactions for the purchase of real estate, worth more than 1 million rubles, want to transfer only to non-cash payment.