People did not want a mortgage
According to Tejarat News, the monitoring of the housing market in different areas of Tehran shows the cold reception of new mortgages in the capital. It was in late September that the news of doubling the mortgage ceiling in the country was published, and following its notification to the branches of Amel Maskan Bank about two weeks after the publication of this news, the conditions for receiving this loan by applicants have been around for about a month. The house is provided.
However, a field study of the housing transaction situation in the twenty-two districts of Tehran in October indicates that the loan has been well received in almost all areas of the cold market. While the prevailing cold weather in the first month of autumn was prevailing in all parts of the city, but a comparison of the situation of the regions separately shows that the decline in transactions in the south of the city was much greater than the northern half of the city (regions one to five).
In October, transactions in the southern half of the city fell by 31% compared to September, while the monthly decline in transactions in the north of the city was 29.7%. This statistic shows that the increase in the mortgage ceiling, contrary to policymakers’ assumptions, has not been a source of effect, even in low-cost areas of the housing market, and has not led to the growth of transactions. In fact, in the southern half of Tehran in October, a new mortgage, the ceiling of which has been increased to 400 million Tomans for couples, and the possibility of attaching a fake loan of 80 million Tomans in exchange for buying bonds, has caused more mobility of applicants in Not marketed.
In the middle areas of the city (districts four and five in the east and west of Tehran), where in addition to consumer purchases, purchases are also made for investment purposes in the housing market, transactions in October, despite the announcement of new mortgages, decreased by 35% compared to September. And this situation has led to a 2% drop in the average house price in October compared to the end of summer.
The decline in housing transactions in all areas of the market, including luxury, consumer and cheap, indicates that the loan did not act as a stimulus for applicants in any of these three price groups of housing units, and buyers did not show it luck.
Two reasons for not accepting new loans
Field research of housing market participants shows that there are two reasons for the very cold acceptance of double mortgages, which go back to two forms of this loan. The optimal form of mortgage is that the loan first covers an acceptable part of the cost of buying a residential unit; Secondly, the payment of its installments can be afforded by the housing applicants. But the loan lacks both.
The average purchasing power of new mortgages in the middle areas of the city, especially the two busiest areas four and five, which are the center of consumer purchases of the “middle-income” class, is currently 9 square meters, which means that the loan coverage for these areas is doubled. Becoming is still minimal. Housing market participants say the new loan in these areas is not as efficient as adding a standard bedroom to the applicants’ home area, and that even homeowners in the area are reluctant to use the loan to enlarge their living space.
On the other hand, the ceiling of a new loan in Tehran is enough to buy 25 square meters of a residential unit in the southern half of the city, which, although far from the standard, is relatively acceptable coverage, at least for applicants. However, applicants for housing in these areas generally can not afford to pay new mortgage installments. Monthly installments of the mortgage ceiling in Tehran are more than eight million tomans, while paying such a heavy installment is beyond the reach of housing applicants in the relatively cheap areas of the city. Therefore, mortgages in some areas of the market where it is possible to pay installments, due to low coverage of the cost of buying a home is practically ineffective and has not been successful. In other areas of the market, where the power to repay the loan is more reasonable, due to the disproportion of installments to the affordability of housing applicants, this loan could not be a source of effect and lead to increased demand for housing.
Source: the world of economy