New Mortgage Lending Collapses

[adiepParticipant]

from mark’s article

https://www.spanishpropertyinsight.com/buff/2010/12/31/mortgage-rates-dip-but-monthly-payments-for-many-borrowers-set-to-rise/

That graph shows we are without doubt entering a new depression in the housing market.

[AnonymousParticipant]

I guess you mean this uplifting chart:

[adiepParticipant]

Dont suppose we know the last time when mortgage numbers were this low? Can we get the historical data from somewhere for a comparison?

[peterhunParticipant]

@adiep wrote:

Dont suppose we know the last time when mortgage numbers were this low? Can we get the historical data from somewhere for a comparison?

I thought I read somewhere it was 1988. I’m a bit vague on that.

Edit: Possibly the answer is they have NEVER been this low.

The number of mortgages issued for Spanish homes in October dropped the most since April 2009 as the expiry of a tax incentive at year-end approached.

The number of home mortgages fell 24 percent from a year earlier, the National Statistics Institute said in a statement today. Mortgage lending in terms of capital loaned declined 33 percent from a year earlier, the most since October 2009, it said.

The drop in mortgages coincides with a slide in home sales, which fell 17.7 percent from a year earlier in October to the lowest level on record. Homes sales had increased through the first eight months of the year ahead of a year-end deadline to lock in a tax rebate, valued at as much as 1,352 euros ($1,779) a year.

Total housing permits fell 34 percent in October from a year ago, the Development Ministry said in a separate statement today.

http://www.bloomberg.com/news/2010-12-27/spanish-mortgages-for-housing-fall-24-percent-from-a-year-ago-in-october.html

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