Fundamenta projects 35-40% increase in new home loans this year

Sustainability

Home savings bank Fundamenta expects the volume of its new home loans to rise 35-40% this year to HUF 330 billion, as it was in 2009, Fundamenta said today, according to Hungarian news agency MTI.

Fundamenta said it increased its loan placements by 30% in 2015 adding that it now provides 25% of all new home loans in Hungary.

For a healthy and sustainable increase in retail housing loans, the volume of disbursements would have to be at least HUF 500 bln a year, they said in the statement. Fundamenta forecasts that it could take at least 2-3 years to reach that level.

Fundamenta noted that the ratio of non-performing loans in its portfolio is below 1.4% compared to 13% on the market as a whole.

SUPPORT THE BUDAPEST BUSINESS JOURNAL

Producing journalism that is worthy of the name is a costly business. For 27 years, the publishers, editors and reporters of the Budapest Business Journal have striven to bring you business news that works, information that you can trust, that is factual, accurate and presented without fear or favor.
Newspaper organizations across the globe have struggled to find a business model that allows them to continue to excel, without compromising their ability to perform. Most recently, some have experimented with the idea of involving their most important stakeholders, their readers.
We would like to offer that same opportunity to our readers. We would like to invite you to help us deliver the quality business journalism you require. Hit our Support the BBJ button and you can choose the how much and how often you send us your contributions.

Support the BBJ

Real Estate