Hungarian mortgage market could grow to HUF 1,600 billion this year
In a video interview with Portfolio, Becsei highlighted that, in an international context, it is rare for mortgage interest rates to be lower than government bond yields. This is primarily driven by intense competition between banks.
According to the OTP Bank Deputy CEO, the Hungarian retail lending market is at equilibrium, with healthy loan portfolios being built, although it remains relatively small compared to neighbouring countries.
In the interview, Becsei also discussed the digitalisation proposals of the Hungarian Banking Association. These initiatives aim to simplify bank contract procedures, accelerate consumer lending and streamline mortgage lending, potentially reducing the administrative phase of mortgage applications to as little as 15 minutes.
(This document does not constitute investment advice or a recommendation to invest.)
