"Government focus on bank initiatives for families" - Corriere.it
The impact of the rate hike
The minister also talks about the effect that the rate hike has on the home and savings departments. The government remains vigilant on the impact that the restrictive financing conditions are having or may produce - he added - on the housing market and on household savings. According to the latest data available, compared to un Mortgage lending declined by 12.8% in the fourth quarter of 2022, sales decreased by only 2.1%. It means that there is less recourse to debt – recalled Giorgetti -. Even the dynamics of house prices do not show signs of great concern.
Mortgage renegotiation measures
Focusing on the issue of loans for the purchase of real estate, responding to the question time, the minister reported that the government has already intervened by reintroducing the option to renegotiate, under certain conditions, variable-rate mortgage loans, transforming them into fixed-rate mortgages and extending the tax breaks and guarantees on first homes for the under 36s. The measures have been a great success and we must ask ourselves the question of how to refinance them. In the executive's spotlight also the trend of inflation - specifically on energy, food and basic necessities - and its consequences on the real estate market. The impact on the average interest rate on household mortgages - reported the minister - on average in March the interest rates on new loans for the purchase of homes amounted to 4.0% while on the stock of mortgages the average rate was still 2.66%: an average among those who they have taken out fixed rate mortgages at exceptionally affordable rates and those who are experiencing significant increases, households and businesses, over this period.
The next budget law
Giorgetti then anticipated the focus of the work on the next budget law, assuring that there will be a careful evaluation, considering the most updated data on inflation and interest rates, hoping that with the summer the increases will stop and reasonably this should happen . The aim, concludes the minister, is to protect the trend of household purchasing power.