Despite the crisis that caused the Covid-19 pandemic, Mortgage credit in Mexico is the only one that has not shown falls.
In this sense, Citibanamex -which today has a 10% share in this market- is optimistic about the behavior of both demand and placement for the remainder of 2021, but also for 2022.
The bank announced its products on Thursday Change your Mortgage more Liquidity, e Mortgage Liquidity so that clients have the option to refinance and obtain cash using their home as collateral.
Ricardo García Conde, executive director of the mortgage bank of Citibanamex, highlighted that mortgage credit has grown on average 10% since 2000, but in 2020 it only grew 2 percent.
In 2021, he said in videoconference, the expectation is for a growth of 20%, and for 2022 it is 10 percent.
What drives mortgage credit essentially is economic and labor stability, consumer confidence, which we see are showing a recovery ”, he highlighted.
He mentioned that, as a consequence of the pandemic, in the first half of last year, there was a significant drop in the demand for mortgage loans, a trend that began to recover from the second quarter.
“So we see it with great optimism, both the performance of the portfolio and the demand, and also the fundamentals,” he said.
He added that another factor that could contribute to this is that housing construction has begun to resume.
Rates would increase, but not significantly
On the other hand, the manager of Citibanamex He considered that, given that the reference rates have already registered increases -after a period of declines-, there will be increases in those charged in mortgage loans, although he specified that they will not be exorbitant increases.
Today, interest rates on mortgage loans are at historically low levels, even below 10 percent.
García Conde commented that, in addition, this product is the one that registers the greatest competition between the different banks. “Within this competition, we are seeking to have always attractive initiatives.”
Two new products
Regarding its two new products, the bank explained that through Change your Mortgage more Liquidity Clients will be able to refinance their mortgage loan with an interest rate from 7.90% and fixed payments, in addition to obtaining additional liquidity in the same loan.
Meanwhile, with Liquidity Mortgage They will be able to obtain financing at a competitive fixed annual interest rate from 9.60% with a term of up to 20 years, taking advantage of their home as collateral to use it for personal projects of their choice.
People interested in requesting a refinancing of their mortgage loan or a liquidity mortgage loan must meet the following requirements: be between 30 and 69 years of age; proof of income; minimum one year of work seniority; and good credit history.
Reference-www.eleconomista.com.mx