Crédit immobilier : en ce mois de mai 2022, les taux immobiliers continuent leur envolée

Erosion rate: Percy eases access to mortgage credit



Erosion rate: Percy eases access to mortgage credit

Under the influence of low interest rates, some French families were excluded from mortgage loans. The Ministry of Economy and Finance is discussing with the French Federation of Banks to find solutions.

Rising real estate prices impede access to credit

Curve reversed. After the downward trend and after hitting a low point in 2021, with a borrowing rate of 1.05% on average for all periods combined, mortgage rates rose. In May 2022, a household can hope to borrow at an average rate of 1.38%, according to the Crédit Logement CSA Observatory. A rate that’s still interesting, though, compared to the inflationary spurt that goes above the 5% mark. No one has heard of it since 1985. Even if borrowers could find their way around the rising cost of living, without relying on Reduced wear rate This complicates access to borrowing.

Abrasion rate system and clipper effect

The minimum interest rate corresponds to the ceiling rate beyond which banks cannot lend. This limit includes the “all inclusive” rate offered by the bank, called the annual fee percentage rate (APR) and makes it possible Protect families from excessive indebtedness. The erosion rate calculation is based on average loan rates for the previous quarter, which increased by a third. Therefore, the lower the reference rate, the lower the increase.

A mechanism that creates all the more significant difficulties when bank rates rise during the same quarter while interest rates fall. As it was several months ago. This phenomenon is called the “scissors effect” by industry professionals.

New rules to facilitate access to credit

With the wear rate dropping from 2.6% to 2.4% in one year and from 2.41% to 2.40% on April 1st for loans of 20 years and more, some borrowers are finding themselves excluded from credit. This is especially the case for the more fragile borrower profiles.

In addition, borrowers who have a very high insurance rate are also affected. The latter then find themselves excluded from credit, because their APR exceeds the authorized maximum. In this context, the Government declares that it intends to Changing the attrition rate equation in order to remove financial barriers that punish families. The goal, set by the executive, is to find a point of balance, with the French banking union, between “consumer protection” and “access to ownership”.

In addition, it is important to remember that there are several tools for improving your application for funding. Using a mortgage broker allows you to put every opportunity on your side to see your project succeed. This finance expert directs the borrower to the institution most able to finance it at the best rate. The broker also negotiates the best terms.

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