What characterized mortgage loans in Poland last year? Statistics, trends, and conclusions – a summary of 2020 shows a clear revival of the long-term commitments market, especially recently. Will the trend continue? It’s time to check it out.
According to a report prepared by the Credit Information Bureau, positive moods weakened in the first half of 2020. Especially among ambitious thirty-year-olds who were counting on the extension of the Flat for the Youth program. It is thanks to him that the first few months in previous years have always been fruitful not only for developers but also for lenders. The long-awaited serious alternative in the form of the Flat + program has not come and will probably remain to wait for a long time.
The housing from the government was like a cure, but the desire to own an M3 did not diminish. Apparently, the Poles decided not to wait for manna from heaven and reached for their own savings. And when they ran out – for mortgages, the amount of which is still growing. This part of the credit market maintains a strong position and the growth dynamics are greater than in the case of liabilities incurred for consumption. How do mortgage loans look under an analytical microscope in 2020?
Mortgages in Poland – statistics
The total number of borrowers increased between December 2019 and June 2020 by 56,000 people. This is the sum of all accepted applications only in the first half of the year. There were many more willing during 2020, as many as 450,000 people decided to apply for financial assistance for the purchase of an apartment, and only in the last month – 30 thousand potential borrowers.
A slight increase in prices on the construction materials market also translated into an increase in the average mortgage amount. In 2020, it amounted to slightly over 288,000 USD, which is a valuable increase compared to the previous year by over 17%.
According to the official data of the Credit Information Bureau, as many as 4 million Poles were greeted by 2020 with credit baggage on their backs. The magic number has finally been exceeded and it seems that it will not decrease at all. The economic situation remains high and developers are rubbing their hands.
Important events on the mortgage market in 2020
It is also worth mentioning the breakthrough that occurred in the case of loans in Swiss francs. A large group of people breathed a sigh of relief, in October the Court of Justice of the European Union (CJEU) decided that Polish courts have the right to annul the entire loan agreement if records are found unfavorable from the client’s perspective.
However, it is difficult to predict what this precedent decision will have real consequences for the mortgage market. It is worth looking at the issue of liabilities in foreign currencies because in the last three months there has been an almost 30% increase in interest.