Mortgage market italian recovers
The economic crisis has spared no one, not even il “mattone” (in Italian, “the brick”, as calling the property sector), one of the most beloved Italian. But the fall of the estimated prices of the Italian language real estate industry was lower than in other European countries. New recovery of loans and mortgages also.
THE REAL ESTATE SECTOR ITALIAN
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The impact of the economic crisis in recent years has also affected the real estate industry Italian, bringing the lower prices but the negative impact was not as strong as in other European countries.
According to a study of Banca Monte dei Paschi di Siena, the bank credit is supporting the recovery of real estate market with a volume of mortgages is growing more than in other parts of Europe.
The year began with a resurgence of real estate market Italian in terms of volume of operations (+3.4% in the first quarter 2010) with the increase in the residential sector further (+4.2% to / s). While the forecasts for this year experts predict a stabilization of the sector with stable prices or at worst, a decrease of 2 per cent and trade in the range between 0% and 2 percent, the next few months show if the positive data and good performance to go ahead and consolidate.
Mortgage Loans
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In the mortgage loans to households in the sector there was no evidence of acceleration in the first quarter of 2010 (7.6%). The Italian market is growing at a faster pace than the average european, with the market share of total loans increased to 8.2 per cent in March 2010. The significant growth in the first quarter of 2010 was also registered in the flows of loans (according to a sample of ABI: +14.9%). The expectations for the end of year are of an increase in the variable interest rate around 40 basis points and a smaller increase in the fixed interest rate (+20 pb).
Despite the reduction of fixed / variable gap, even in 2010 loans variables appear to be the preferred option. In the first 3 months of 2010, 74 percent of the total was the rate of the loans variables.
The burden of mortgage payments in 2009 is on average about 16 percent of disposable income of households, a low of one percentage point from 2008. The reduction was due to interest rates lower occurred in 2009 in addition to the intervention and measures with the support of redefining the terms of the contract.
In short, it appears that the Italian real estate market and the mortgage market Italian has suffered, but the impact was limited and according to the cited earlier study by the Banka Monte die Paschal di Siena Italy can boast of the primacy of the country smaller European apex the fall of average price.