Banks and credit unions granted 44.8% more housing loans in terms of numbers in July 2021, the Credit Information Bureau (BIK) reported. In terms of value, there was an increase by 70.1%.
In the period January – July 2021, 157.1 thousand were drawn. (+ 16.7%) housing loans in the amount of PLN 49.76 billion (+ 37.7%), it was announced.
In July this year, compared to July 2020, the housing loan market shows very high positive dynamics of both the value (+ 70.1%) and the number of loans granted (+ 44.8%). In the first seven months of 2021 More than a half (55.1%) of the value of loans granted are loans in the amount exceeding PLN 350 thousand. The loans above PLN 500 thousand alone account for 26.1% of the total lending, according to the report.
When analyzing the situation in individual amount ranges determining the value of a housing loan, in the period January – July 2021, a large differentiation can be seen. The highest positive sales dynamics of housing loans, both in terms of number and value, concerned loans from two ranges, ie from PLN 350,000 to 500,000. PLN and above 500 thousand. PLN, respectively in terms of numbers (+ 41.1%) and (+ 78.9%) and value (+ 42.3%) and (+ 84.6%). In the remaining ranges, both in terms of numbers and value, the dynamics did not exceed (+ 21.7%).
The results of the July lending for housing loans reflect the demand from May and June 2021. The possibility of achieving a record lending in July was already signaled by both the May (+ 91.5%) and the June (+ 55.9%) Demand Index readings on housing loans, it was also indicated.
“For housing loans, July last year was a weak month in terms of the number and value of lending (17 thousand PLN 4.75 billion). The high dynamics in July 2021 is therefore partly due to the low base effect in July 2020 The second factor is the record value of lending in July 2021 […] for the first time in history, monthly lending exceeded PLN 8 billion. PLN 7.5 billion,” said the chief analyst of BIK, Waldemar Rogowski.
July this year. this is another month in which housing loans record high positive sales dynamics. The boom in high-value housing loans continues. This can be seen in the average value of the loan granted, which in July 2021 reached another record value of PLN 328.53 thousand. PLN and was higher by 17.5% than the average for July 2020.
“Undoubtedly, the source of such a good economic situation is both the huge increase in demand and the greater willingness of banks to grant loans (positive supply response), especially high-value ones, visible in the loosening of the requirements for, among others, own contribution. an increase in real estate prices and a reduction in the amount of the required own contribution, which was increased in the first months of the pandemic, which then directly contributed to the decrease in the average loan amount,” added Rogowski.
The monthly reading of the Quality Index of the housing loan portfolio in July 2021 was 0.58%. In the last 12 months (from July 2020 to July 2021), the quality of the portfolio has improved, as evidenced by a decline in the Index by (-0.23 percentage points).
Source: BIK and ISBnews
