“The continuation of the First Home program will have positive influences on the market, because it allows transactions, albeit minor ones. (…) We estimate a 10%-15% increase in the amount of mortgage loans granted by BCR,” Coroianu said after a press conference.
BCR granted last year over 1,100 mortgage loans, including 940 through the First Home program. The loans were worth a total EUR41 million.
“BCR has an overall amount of EUR600 million in loans granted under the First Home program. We will be able to issue loans for another year and a half, or two, through this program, if we double our exposure,” Coroianu added.
Regarding the currency in which the loans should be issuer, Coroianu said he believes loans in euro would be more advantageous.
“Market experience has shown that for long-term loans the differences in interest between euro and leu pressure the installments. Thus, for long-term financing, the euro would be the right solution,” Coroianu said.
BCR, member of Erste Group Austria, is Romania’s largest lender, with assets worth a total EUR16 billion.