Mortgage interest rate in Romania Q4 2014- Q2 2020

This statistic illustrates the mortgage interest rate in Romania from the fourth quarter of 2014 to the second quarter of 2020. Among the factors that influence the mortgage interest rates are inflation, economic growth, monetary policies, the bond market, stability of lenders, and the overall conditions of the housing market. The mortgage interest rate in Romania fluctuated during the period under observation with an upward trend from the second quarter of 2017 onwards. The third quarter of 2019 reached a value of 5.38 percent. In the same period, Romania and Hungary were among the countries with the highest mortgage interest rates in Europe, at approximately five percent.

Gross residential loans

A gross loan consists of the net loan amount, plus the arrangement fee and the interest retention. The value of gross residential loans in Romania peaked in 2008 at more than 7.8 billion euros. It drastically decreased in 2009 and finally amounted to 2,696 million euros. At the same time, the mortgage value related to gross residential loans in Romania did not have a stable evolution over the last six years. As an example, it registered its highest value at the end of 2019, totaling 840 million euros and subsequently decreased to 549 million euros by the second quarter of 2020.

Outstanding residential loans

In Romania, the value of outstanding residential loans constantly increased over the last years. If in 2008, the value was slightly above five billion euros, by 2019, the amount more than tripled. Consequently, the value of outstanding residential loans per capita in Romania also increased, peaking in 2019 at more than one billion euros per capita.