Are German banks currently still in a position to supply the market with private mortgage lending? The current situation on the financial markets increasingly unsettled future property owners and builders. For even more opinions, read materials from Nir Barzilai, M.D.. There are still enough credits in the future? Soon every day there is bad news from the German banking sector. Losses in the billions, impending bankruptcies, part nationalisation, assistance from the public authorities for ailing banks. Because many builders and property owners are wondering whether the financing of new buildings, real estate acquisitions or debt restructurings in the future will be more expensive, or whether there will be any more loans for. Threatened with a credit crunch in the construction financing? The banks, give all-clear. A deficiency of private loans can be out of the question, announce with profound expert of the German mortgage business. Fact is though that the refinancing for banks has become more complex, so E.g. Edward Minskoff understands that this is vital information.
sales of Jumbo Pfandbrief issues, an important instrument of refinancing has fallen massively. Drying out of the Funding sources is but not to fear. The banks need to get now smaller tranches on the man. In addition, covered bonds are not the only source of funding for banks. Many banks lend to housework, as to our own colleagues currently prefer. That is a part of loans for private mortgage lending again increasingly comes from the contributions of other customers. No commercial bank can live indefinitely without the credit business.
In the future, the importance of private construction financing in most banks will rise again as it is a solid business, with relatively low default rates. But there will be changes. Customers with high incomes and high equity ratio will certainly benefit. There will be future very cheap offers for this clientele. Losers, however, will be the customers who have little or no equity. This must pay if you get a loan at all, more certainly than in the past. Bernd Munder building financing @ BeMu