will it be easier to borrow from next October 1st?

While many mortgage files are refused because of the maximum rate at which banks can lend, this wear rate will be updated on October 1st. And some sources suggest a significant increase.

Mortgage brokers are mobilizing to put pressure on the Banque de France. The Union of Credit Intermediaries, one of the main unions in the profession, calls for demonstrations this Tuesday morning in front of the institution. Objective: to convince the Banque de France, which must decide in less than 2 weeks, to sufficiently raise the rate of wear and thus allow the release of many pending credit applications. And, according to our information, it could well be that brokers, bankers, notaries and real estate professionals finally have a good surprise.

One thing is certain: October 1 will give a breath of fresh air to all real estate players. Everyone is waiting for the Bank of France to raise the usury rate. This maximum rate at which banks are authorized to lend does not rise quickly enough in relation to the rise in market rates, effectively preventing many households from obtaining their loan.

Towards 3%?

This rate of wear, which takes into account the rate of the loan but also the insurance and the expenses of file, peaked at 2.57% for the mortgages of 20 years and more these last 3 months. But it should increase significantly next month.

Because certainly the Banque de France has indicated that it would be satisfied with the mathematical formula, but it would seem that this formula can be adapted by taking into account more or less recent statistics. As a reminder, the wear rate is calculated each quarter on the basis of the average effective rates observed during the quarter which has just ended, increased by one third. Hence a lag with the market in the event of a rapid rise in rates, as has been the case for several months.

A source close to the institution suggested to us that the next wear rate could approach 3%. Another well-informed source confirms anticipating an increase of up to 45 basis points, or 0.45 percentage points. Which would then bring us to 3.02%. We would therefore exceed this symbolic bar of 3%. Much better than what real estate professionals had anticipated so far.

According to a broker, at such a level, there would be almost no loan refusals linked to usury with the current rates applied by the banks. Anyway, at first. Because the banks will inevitably continue to increase them in the face of central bank policy and the persistence of inflation.

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