Monthly since February and until the end of 2023, the usury rate, the maximum rate above which a bank cannot lend, has crossed 5% for the first time since 2012. Good news for banks , but also for borrowers.
He never stops climbing. The new usury rate, the maximum all-inclusive rate (insurance and bank charges included) above which a bank cannot lend, was unveiled for the month of July and published in Official newspaper. Accused of blocking real estate credit at the end of 2022, it has now been reviewed every month since February 1 until the end of 2023.
5.09% for the longest loans
For the sixth time in as many months, the rate of wear and tear is therefore on the rise, and this is particularly pronounced in July, with a rise of 0.41 points in one month for the longest loans. Attrition rates now reach 4.84% for loans over 10 to 20 years and 5.09% on those over 20 years and over. Compared to the end of 2022, the increase is 2 points, in just over 6 months.
Wear rate for real estate loans in July 2023
| Categories | Average effective rate practiced during previous three months June 1, 2023 |
Wear rate applicable au June 1, 2023 |
|---|---|---|
| Real estate loans | ||
| Fixed rate mortgage loans | 3,08% | 4,11% |
| Fixed rate mortgage loans ≥ 10 years and | 3,63% | 4,84% |
| Fixed rate mortgage loans ≥ 20 years | 3,82% | 5,09% |
| Variable rate home loans | 3,52% | 4,69% |
| Bridging Loans | 3,78% | 5,04% |
This category also includes credit resulting from a consolidation comprising one or more home loans whose share exceeds 60% of the total amount of the consolidation operation. Source: Legifrance.
Like every month, banks will take advantage of this new wear rate to adjust their scales upwards. Mal Bernier, spokesperson for Meilleurtaux, explains that thanks to this new usury rate, the banks will be able to reconstitute their margins and therefore return to the mortgage market, neglected by some for many months.
But how far will the increase go? In this context, with this very rapid rise in usury rates and the determination of the European Central Bank to continue its policy of raising key rates to curb inflation, we are maintaining our rate scenario of 4.5% between now and the end of the year, and perhaps even the reappearance of rates at 5% in early 2024, said Sandrine Allonier, spokesperson for Vousfinancer, in a press release. This would be bad news for borrowers whose borrowing capacity would fall even more, and who, without a sharp drop in prices, would be even more unable to buy.
2023-06-29 21:21:38
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