Home Loan Market Still Brisk

Households in Finland took out 1.7 billion euros in new home loans in September, nearly the same level of borrowing seen all year.

Compared with the same month of 2007, the volume of home loans was only 42 million euros less, according to figures released by the Bank of Finland.

In August new housing loans totalled 1.6 billion euros. The average interest rate on new loans in September was 5.49%.

Outstanding housing loans to households amounted to 66.9 billion, an increase of 10.5% on a year earlier. The total stock of euro-denominated corporate loans grew by 20.9% on the corresponding period of the previous year. Outstanding corporate loans amounted to 56.0 billion euros in September, with the average interest rate on the loan stock standing at 5.59%.

The outstanding stock of household deposits amounted to 72.3 billion euros in September, 15.3% more than in September of last year.