In October, the mortgage rate approached the record of 2%
The coronavirus pandemic has brought not only the sad news, but also positive trends. Since its beginning, we can observe a steady decline of the mortgage rates in the Czech Republic and also the volume increase of the issued mortgage loans. For example, in October, the average mortgage rate amounted 2.02%, which is the best result since 2017.
2020 may be a record year for the volume of issued mortgages. It surpasses such years as 2016 and 2017, when the mortgage loans were issued at the amount of 226 billion Czech crowns. Indeed, already in October there was almost overcome the mark of 200 billion Czech crowns issued from the beginning of 2020. Only in October, there were issued the mortgage loans in the amount of 25 billion Czech crowns. According to the bankers, unprecedented interest of their clients to mortgages continues to grow in November too. It is worth noting that the average amount of a mortgage loan is also increasing. In October, it reached the amount of 2,865,189 Czech crowns. Thus, in 2020, interest to mortgages and real estate in the Czech Republic continues to grow, despite the pandemic and other shocks. According to Fincentrum Hypoindex, the trend of decreasing the mortgage rates can be observed for the last seventh month in a row.
