Swedbank displays modifications within the housing market: the share of flats bought by residents is growing once more | Enterprise

Nevertheless, this 12 months, a number of new traits have turn into much more obvious: an increasing number of housing is being bought and not using a joint mortgage, and the share of flats within the whole variety of transactions has additionally elevated.

“Through the first 12 months of 2024 within the quarter, utilizing our financial institution’s financing, over 1.5 thousand individuals purchased a house. people and households. Shopping for your personal house continues to be related, solely residents are at the moment in search of a housing choice that fits them for longer and are normally not in a rush to decide on buying it, as they had been a couple of years in the past,” says Pavel Ladziato, head of Swedbank’s Personal Shopper Service.

Private archive photograph/Pavel Ladziato

The typical mortgage approached 100 thousand. euros

in 2024 within the first quarter, in comparison with the identical interval of the earlier 12 months, the variety of people who took out a house mortgage elevated by a tenth, that’s, those that buy a house and not using a joint debt. On the one hand, this exhibits that housing stays reasonably priced, however, people extra usually select to buy housing with a smaller space. This additionally results in an growing share of flats amongst all financed actual property objects.

“Through the 12 months, the variety of recipients of such loans elevated by a couple of tenth, and initially of this 12 months their share was 53 %. of all debtors. If we take a look at the statistics of some years in the past, then 2 out of three housing loans had been granted to residents with a joint mortgage”, notes P. Ladziato.

The typical quantity of a mortgage for the acquisition of a house has elevated by 5 % over the previous 12 months. and reached nearly 99 thousand. euros. The quantity of the down cost for housing elevated by 1 % through the 12 months. and amounted to about 39 thousand on common. euros. The overall quantity of loans issued through the quarter didn’t change considerably in comparison with the corresponding quarter of the earlier 12 months.

Based on P. Ladziats, residents who borrow for housing are inclined to maintain some house and don’t use the total restrict of their monetary potentialities. For instance, some prospects pay a better down cost than required by the laws of accountable lending, and the month-to-month housing cost is normally lower than 30%. their revenue.

The recognition of flats is rising

The modified profile of the particular person shopping for a house additionally impacts the kind of house being bought: amongst bank-financed houses, the share of flats has noticeably elevated. It now accounts for 71 %. of all housing financing transactions, in comparison with 69 % a 12 months in the past, and earlier it was even decrease.

Accordingly, the share of homes and cottages bought with Swedbank financing decreased to 26 %, when in 2023 within the first quarter, this share reached 30 %.

“Through the pandemic, three to 4 years in the past, the necessity for extra spacious housing grew to become evident. In recent times, precedence has been given to smaller housing nearer to town heart. That is partly resulting from elevated housing costs and a lower within the total affordability of housing, which makes residents much less more likely to resolve to buy a bigger space of ​​housing,” observes the consultant of Swedbank.

When buying flats, residents extra usually select new development housing with a better power class, in order the variety of bought flats will increase, so does the share of energy-efficient residential actual property financed by the financial institution.

The financial institution calculates that 42 % of all housing loans within the first quarter of this 12 months had been granted for the acquisition of housing of the very best power class A+/A++. For one of these housing, Swedbank gives extra favorable financing circumstances and one of many lowest margins available on the market within the first 12 months of cost of mortgage installments.

House patrons may also reap the benefits of Swedbank’s lately launched ecosystem of sustainable housing options, which incorporates particular gives for housing, together with engineering and good house methods, power manufacturing from renewable sources, and different options from the financial institution’s companions.