Increased borrowing, less problematic credit!



This year, the volume and amount of subsidized loans increased significantly, as did market home loans, compared to the same period in 2016. According to recent surveys of the HCSO, loans were mostly applied for second-hand homes, but the number and amount of loans for new home-building and buying has also increased!

Several factors influence the development of home loans

Several factors influence the development of home loans

  • the first to mention National Asset Manager (NET) ‘s defaulted loans By June 2017, the NET 3.044 hedged residential property.
  • CSOK has significantly increased home lending, with family loans granted by banks increasing to HUF 12,800 in the first half of the year, amounting to HUF 27.5 billion. 57% of subsidized loans were used for used homes and 40% for new homes. Disbursements preferred more expensive real estate (62%) and used housing (37%).

Average home loan per apartment in the first half of this year:

  1. used flat 1,5 million HUF,
  2. 2.5% for construction,
  3. HUF 5.6 million for the purchase of new homes.
  4. they needed an average of 1.4 million for home expansion, which is very little.

This is the housing loan stock

This is the housing loan stock

At the end of the first half of 2017, the housing loan portfolio was HUF 2,920 billion. This is a mere HUF 5 billion increase compared to 2016 earnings. There is no change in this area relative to GDP. In 2016, the increase was 8.3%, and this year it remained the same percentage. Credit has been declining since 2011, peaking in 2015 with a 10% drop. By the end of 2016, the weakening had improved, and by 2017 the number of loans had not decreased further.

The overall picture did not change significantly, comparing the subsidized 23% with the market loans by 77%, moving the balance sheet by 1 percentage point. Of course, by July 2017, 58% of the loans will be found in banks, 28% in mortgages and 3% in savings cooperatives.

Improved repayment, less trouble with loans


The number of problem-free loans has increased, from 80% in 2015 to 93% in 2017, which means fewer problem loans. The number of non-payers or non-payers who have not paid for 30 to 61 days has decreased. There is also an improvement in this area.

The loan absorption rate improves!

The number of loans authorized increased by 34% compared to the same months of 2016, resulting in 294 billion of the 46,000 home loans. Since the beginning of 2016, the number of government-subsidized loans has increased by HUF 61 billion, representing a 33% increase.

Let’s look at the disbursements!

  • By July 2017, nearly 46,000 home loans had been approved and granted. $ 294 billion. Compared to the beginning of 2016, the number of home loans increased by 7,000, or HUF 54 billion.
  • In lending, second-hand homes lead, with 2 out of 3 loans being used to buy used homes. Disbursements totaled € 195 billion, an increase of 23% over the previous year.

If we look only at the last half of the year, construction loans also doubled in size. The number of loans used for buying a new home increased by two-thirds, nearly doubled. average purchase price of new home increased from HUF 6.4 million to HUF 7.8 million.

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