German Property Lenders Expect New Real Estate Financing To Pick Up Slightly In 2024
New real estate financing in Germany is set to pick up modestly this year after a massive fall last year amid the worst property market downturn in decades, data from the banking association vdp showed Wednesday.
Financing for the construction and acquisition of residential and commercial properties sank 31.3 percent in 2023 to total EUR 110.0 billion, the vdp said.
Loans for commercial property construction decreased 23.8 percent and credit for residential properties shrunk 35.8 percent.
However, new real estate financing grew 5.2 percent year-on-year in the fourth quarter, which is otherwise a traditionally lowest time.
"The fact that more real estate loans were granted in the fourth quarter of 2023 year on year indicates that financing activity is beginning to stabilize," vdp's Chief Executive Jens Tolckmitt said.
"Given that interest rates on loans appear to have peaked and planning security has increased with regard to financing conditions, we expect new real estate financing activity to pick up slightly in the current year 2024."
Economic News
Reprinted from RTTNews，the copyright all reserved by the original author.
Disclaimer: The content above represents only the views of the author or guest. It does not represent any views or positions of FOLLOWME and does not mean that FOLLOWME agrees with its statement or description, nor does it constitute any investment advice. For all actions taken by visitors based on information provided by the FOLLOWME community, the community does not assume any form of liability unless otherwise expressly promised in writing.
FOLLOWME Trading Community Website: https://www.followme.com
Hot
No comment on record. Start new comment.