We are far from a real estate bubble
We are far from a real estate bubble” Data from the Mortgage Statistics released today by the INE for the last March reflect a rise of 20.2% in mortgage lending compared to the same month last year reflecting good health that the mortgage market lives. “The return of credit has been a key factor in the sector’s recovery. Mortgage financing is consolidating, although it has nothing to do with what we saw once. Despite the bulky increases that reflect the statistics we are still far from a real estate bubble because banks are very cautious and selective in granting mortgages and real estate sector it is well below the level of activity recorded in the years of boom. However, in his opinion, we must be alert to avoid past mistakes. “The European Central Bank has announced that interest rates will continue at these levels or even lower a good season, which will consolidate this recovery being experienced by the sector. But today those who sign a mortgage have to be aware that these levels and the Euribor at historic lows not to be considered in the long term. INE data also show that communities with greater number of mortgages on homes in March are Andalusia, Madrid and Catalonia regions, according to data from X-ray Housing Report 2016-2017, 57% of concentrates country all activity related to housing demand by individuals. Read...
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