In June 2021, the net amount of new mortgage loans issued in Cyprus reached 114 million euros, becoming a new monthly maximum in the entire history of statistical observations in the country.
According to the Central Bank, the growth in mortgage lending was due to the government scheme of subsidizing interest rates.
Loans
The total volume of new loans in June 2021 increased by 259.2 million euros and reached 674.5 million euros.
The net amount of all new loans was € 291.7 million, and the amount of loans for which restructuring was granted was € 383.9 million.
In the first place in terms of the number of issued loans were loans for housing, the amount of which reached 113.7 million euros in June 2021, followed by corporate loans in the amount of more than 1 million euros - 100.3 million euros, corporate loans in the amount of less than 1 million euros - 50.5 million euros, consumer loans - 13.4 million euros and other loans - 12.8 million euros.
As for restructured loans, the overwhelming majority were corporate loans in excess of € 1 million. In total, their amount in June was 273.4 million euros.
Finally, the restructuring of consumer loans in June reached 6.4 million euros, and other loans - 4.1 million euros.
According to the Central Bank, a total of € 1.39 billion in new loans were issued between January and June, up 4.2% from the same period in 2020.
Interest rates on deposits and loans
The interest on private deposits less than for one year in June 2021 remained unchanged, at the level of 0.07%. The interest rate on deposits from non-financial companies rose to 0.12% from 0.04%.
Consumer loan rates rose to 3.14% from 2.88%. Mortgage interest rates fell to 2.13% in June from 2.19% in the previous month.
Interest rates on loans to non-financial companies of up to € 1 million decreased in June to 3.20% from 3.22% in the previous month, while interest rates for non-financial companies over € 1 million increased to 3.16% up from 2.81% in the previous month.
You can find profitable options for buying real estate in Cyprus on the DOM Real Estate Portal. The website also has a large number of rental properties - from residential to commercial real estate. Choose and contact professionals who will help you make the right choice!