The Romanian central bank (BNR) is increasing by 10 pp the down payment ratio for mortgage loans aimed at investments (as opposed to housing) purposes, according to a draft regulation unveiled by the BNR spokesperson Dan Suciu, Profit.ro reported.

Thus, the down payment ratio reaches 25% for the mortgage loans denominated by local currency, 35% for mortgage loans denominated in euros, and 50% for mortgage loans denominated in any other currency. The ratios for mortgage loans aimed at buying property for the buyer's own use (as a home) remain at the same levels.

The precautionary step is taken in the context of the interest rate normalisation cycle triggered by the 25 bp hike of the refinancing rate. However, BNR's spokesperson Suciu stated that the central bank does not consider the increase in mortgage lending to be "rapid" at the moment, as the upward dynamics rather reflects the post-pandemic recovery.

The annual credit dynamics reached 13% in August, with the increase in the mortgage lending segment being 12.5%.

andrei@romania-insider.com

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