26 January 2019 - 3 min Reading time
The number of credit applications increased by nearly 56% in October 2019 compared to October 2018. The corresponding total amount of these applications was also almost 58% higher. The announced abolition of the housing bonus in Flanders is undoubtedly the cause of this.
In October 2019, the number of granted credits increased by almost 18.5%. In terms of amount, more than 14.5% more credit was also granted than in October 2018.
These findings are based on the figures from the Mortgage Credit Barometer of the Professional Association of Credit (BVK)
In order to more quickly track the evolution of mortgage credit, the Professional Union of Credit (UPC) has been publishing a mortgage credit barometer since the beginning of 2009. This barometer provides, every month, the evolution in terms of number and volume of newly requested and granted mortgage credits for the previous month, compared to the corresponding month of the previous year. The percentages mentioned above represent nearly the entire UPC mortgage credit market. The underlying absolute figures are published on a quarterly basis through a press release by Febelfin.
The following chart shows the evolution of credit applications, in terms of amount and number, for the past twelve months. The monthly figures are compared to those of the same month in the previous year.
In October 2019, the number of applications for a mortgage loan increased by nearly 56% compared to October 2018. In terms of amount, there was also an increase of nearly 58% compared to last year.
The increase in the number of credit applications occurs in all areas: loans for the purchase of a home (+44%), for the construction of a home (+102%), for home renovation (+77%), for purchases with renovation (+24%), and for other real estate purposes (+20%). The number of applications for external refinancing (+74%) also saw an increase.
The following chart shows the evolution of granted mortgage loans, in terms of number and amount, for the past twelve months. The monthly figures are compared to those of the same month in the previous year.
In October 2019, the number of granted mortgage loan agreements was nearly 18.5% higher than in October 2018. The corresponding loan amount also increased by a little more than 14.5%.
The increase in the number of granted credits also occurs in all areas: loans for the purchase of a home (+8%), for the construction of a home (+15%), for home renovation (+38%), for purchases with renovation (+20%), and for external refinancing (+51%).