2023-09-30 16:19:57
Mexico City.- This year, private banks are charging higher mortgage rates due to the initiative of the Bank of Mexico (Banxico) to combat inflation, according to El Universal sources.
In August, the Bank of Mexico reported a average interest rate of 11.41% for loans intended for the purchase of homes in the country. This figure marked the highest point of the year. On the other hand, the American Mortgage Bankers Association reported that in In the United States, the average rate remained at 7.41%. |34
Experts point out that these significant disparities are due to several reasons. First, banks in the United States have more accessible sources of financing and at lower costs compared to their Mexican counterparts. Additionally, the inflation rate is lower in the United States, which helps keep mortgage rates lower.
The central bank rate has caused new mortgages to rise, which will remain high for a prolonged period and there will be less appetite for purchasing homes,” estimated Jesús Garza, Professor of Economics and Tecnológico de Monterrey Finance.
In the first half of this year, throughout the country, homes and apartments financed with mortgage loans had a average price of approximately one million 601 thousand pesos. This represents almost double the recorded value in 2018, when they cost around 816 thousand pesosaccording to data provided by the Federal Mortgage Society (SHF).
“As is happening in other parts of the world, banks are raising their interest rates, mortgage loans based on the increase in the reference rate or the cost of 10-year financing, but they have been prudent not to affect the real estate industry,” said the founder and executive director of Tu Hipoteca Fácil, Fernando Soto, in an interview with El Universal.
Mexico and the United States have experienced an increase in mortgage rates, a measure implemented by their respective central banks to curb inflation. According to BBVA forecasts, it is possible that Mexico will return to single-digit rates by 2025.
The Real Estate analyst for Propiedades.com, Leonardo González, predicted that House prices will continue to rise.
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