What is the future of the panel housing market, you provide easy financing for their purchase and what is the attitude of banks to this type of housing? These were some of the issues that participants in the panel discussion devoted to the housing market in Bulgaria, commented during the conference on real estates BalRec – Bulgaria, which is taking place today with media partnership of Investor.bg.
Reason for the discussions was information that some banks have stopped granting mortgage loans for the purchase of panel apartments.
Martin Gikov team leader of real estate financing at UniCredit Bulbank, said UniCredit continues to grant credits for panel apartments. The credit applications are assessed more carefully compared to before, as with other properties.
“The question is what is the life of a housing panel,” commented Ilian Nikolov, regional director of RE / MAX Bulgaria. “This is almost a temporary building, but a building, which as time passes and the older it gets, the more it will fall apart. According to him it is natural banks to be more cautious about lending for the purchase of such property.
“Banks are always looking with a different eye of panelkite” said Tihomir Toshev, executive director of credit consultant Credit Center. “Even up to date when the market grew, they were more cautious.
He is of the opinion that there will be mortgage financing in the future of panel homes, but requirements for own funding will become higher. Estimates are that banks will require buyers of panel homes to have between 30 and 50 percent equity.
“A panel housing market will always exist“, says Katia Price, managing partner and executive director of Address Real Estate. “ Although they had reached prices that do not meet their quality up till now, the market will now drive them down and they will become available for people with lower margins, which can finance them themselves.
From: Angel Milev
angel@investor.bg
Source: Investor.bg
