Published 27 March 2023 at 15.06
Economy. According to financial market statistics from Statistics Norway, Swedes' collective mortgage debt is now decreasing – for the first time since 2005. This is reported by Dagens Industri.
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The total household loan stock decreased from an incredible SEK 4,901 billion in January to SEK 4,899 billion in February, which is linked to the interest rate hikes of the past year.
According to Andreas Wallström, head of forecasting at Swedbank, the reduction is due to both a slowdown in new lending and increased amortizations.
– As long as we have collected statistics in this series (since 2005, editor's note), the total value of mortgages is actually falling for the first time, Wallström tells DI.
He states that households become more cautious in troubled times with a worse economic situation and want to save more, which causes them to increase their repayments.
At the same time, lending to companies in growth is also decreasing, to the lowest level since April 2022, which Andreas Wallström believes is connected to l the reduced housing construction since the summer of 2022.
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