The Bank Board of the Czech National Bank ("CNB") raised the basic interest rate for the second time this summer, which is now running at 0.75 percent. The level of the basic interest rate also affects the rate of mortgage loans. Mortgages will thus most likely become more expensive in the future.
At the beginning of the year, the average mortgage interest rate reached its minimum. The one-year gradual reduction of interest rates ended this spring and rates are starting to rise again. However, their growth is now hampered by competition between banks.
The amendment to the Act on the Czech National Bank ("CNB") was signed by the Czech president at the beginning of June. The CNB will thus acquire the statutory power to adjust the parameters for providing mortgage loans. Until now, the central bank could only issue recommendations which, despite their legal unenforceability, the banking...
Unprecedented interest in mortgage loans continues despite the recent rise of interest rates. According to the research, up to 13% of all inhabitants of the Czech Republic are considering applying for a mortgage loan. The huge interest in mortgages is probably caused by rising interest rates and concerns about higher inflation rates.
At the beginning of the year, there was an unusually great interest in mortgage loans in the Czech Republic. Starting from March 2020, interest rates were sharply falling due to the coronavirus crisis. As this aspect affects mortgage interests of the customers, the applicants had a strong interest in applying for new mortgages and refinancing old...
Previously, closing a mortgage loan would not be possible without personal meetings, signing a number of documents and, in some cases, time-consuming administration. However, given the situation, banks are coming up with the transformation of their services into online platforms. This also applies to mortgage loans. Although it is not yet possible...
Property purchase and mortgage loan can evoke lots of questions for many of us. Having the right answers could mean reducing both the stress and the cost.
The Interest rates have fallen sharply over the past year, but will they be the same this year?
At the end of 2020, the average interest rate on mortgage loans fell below 2% in the Czech Republic, but prices of the real estate have not fallen as many experts expected. At the beginning of the new year, interest...
Are you wondering how the coronavirus affected the real estate market in the Czech Republic? Read bellow a brief overview of Czech real estate market.
Due to the corona virus crisis at the beginning of this spring, many real estate brokers and financial experts expected real estate prices to fall due to lower demand for housing and lower demand for mortgage loans. However, we have not witnessed significant decline in property prices.
