Every second ex-foreign currency borrower would replace his current mortgage
One in two respondents to a live mortgage loan survey surveyed by the Bank of Budapest is considering replacing their current facility with a more favorable one. 70 percent of those planning to change are also looking at offers from other financial institutions, and 17 percent are sure they will not remain customers of their current bank.
The survey was conducted in May
By interviewing 431 people in the 18-65 year-old Internet banking population (formerly) with foreign currency-based mortgages.
According to the results sent to MTI on Thursday, the majority of those surveyed (66 percent) were mortgages who still have debts after settlement. They borrowed an average of HUF 5.6 million for a term of 18 and a half years, of which about 10 and a half years remain.
Their repayment installments averaged HUF 41,000 at the time of the loan, which rose to HUF 77,000 when the Swiss franc peaked; this represents an 88 percent increase.
After the settlement
More than half of the respondents pay down their installments: they pay an average of HUF 33,000 less. However, there is a relatively large variation in this, with those with higher amounts of credit experiencing a greater decline. According to the survey, the average post-installment installment of those who continue to pay their loans in the future (including those whose installments are not decreasing) was 59 thousand forints.
According to the study, those whose loan contract was terminated at the same time as the settlement or earlier (except for those who paid off at a preferential rate) took out an average loan of HUF 3 million, which was repaid for 5 and a half years. They also experienced a significant increase after the initial installment of HUF 39,000 on average, as their repayment rate increased to about HUF 63,000 during the weakest period of the HUF / CHF (64% increase).
Interviewed foreign currency lenders
Who have a lower installment after settlement will pay an average of half of the money resulting from the decline (about HUF 16,000), typically spending this amount on daily expenses and consumption. 23% of the money will be used for early repayment of current loans and 17% for repayment of other (typically consumer) loans, while only 11% intend to save.
The creditors involved in the research with a closed contract will receive an average refund of 300,000 forints, which will be used by 57 percent of them: daily expenses, purchases, consumption and home renovation are the most common goals, but many also plan to finance their travel. 15 percent said they would spend this money to repay another, typically consumer, loan, while 28 percent said they would set it aside from the amount they have received.