The demand for a cheap loan with a government subsidy will exceed the wildest expectations. Effect? The number of available flats is falling, especially those that can be purchased under the Safe Credit programme. Prices are also rising.
During the first month of operation of the “Bezpieczny Kredyt 2 percent” program. Poles submitted over 18 thousand. credit applications. — Demand on the housing market began to grow long before the law on loans with a government subsidy came into force. In fact, we began to see growing interest in the purchase as soon as the first information appeared that the solution would actually appear on the market – says Marcin Drogomirecki, an expert on the real estate market of the Morizon-Gratka Group, in an interview with Business Insider.
Supply down, prices up
According to data from the Credit Information Bureau, the demand for mortgage loans increased by 273% in July. Analysts of the PKO BP bank called it “fever on the loan market”. The number of applicants for a loan exceeded 45,000. We didn’t have to wait long for the effects. Average prices rose in July in virtually all cities, both on the secondary and primary markets.
– If I had to sum up what I see on the market a month after the possibility of using subsidies appeared, I would say that a safe 2% loan. will have beneficiaries and victims, but there will be definitely more victims. These are the people who do not qualify for the program today and cannot finance the purchase of flats on their own. The government solution will make it even more difficult for them to buy due to the renewed increase in prices – sums up Marcin Drogomirecki in an interview with Business Insider.
The amount of the “Safe Loan” cannot exceed PLN 500,000. PLN, and if the borrower runs a household together with his spouse or has at least one child – PLN 600,000. zloty. The own contribution may amount to a maximum of PLN 200,000. zloty. In the absence of own contribution or incomplete contribution, you can use the guarantee of Bank Gospodarstwa Krajowego (BGK). The installments are subsidized for 10 years, and the loan is repaid in the form of fixed capital installments (decreasing capital and interest installments). During the period of application of subsidies, the interest rate on the loan will be 2 percent for the borrower. plus a margin, commission and other bank charges (if any).
The second pillar of the program is a housing account, intended for people who plan to buy a flat in the next few years. People who decide to set up an account can count on receiving a savings bonus from the state. The account can be opened from 13 to 45 years of age.