The subject relating to the real estate sector in Belgium is at the origin of several political debates. The Belgian finance market is at the center of discussions. These are the mortgage credit terms. Banks tend to use it as a major down payment.
The bankel decided on the bank case and their large contribution in their loan. Indeed, several credit institutions granted loans whose capital demand was the equivalent of 80 or 90% of the real value of the property. Not to mention, the very attractive rate of these credits. This is a formula designed to replenish the coffers of financial institutions and which at the same time represents a certain fragility.
The current instability of the economic market is the main reason. In response to these glaring risks, the banks were asked to invest separately as security. This is a prevention of difficulties, in case of unpaid or any other major problems. A strategy that is common in this environment. Moreover, the government approves such an initiative and encourages the credit players to go in this direction.
The situation then had an unfortunate fallout on the environment of loans for households of the Belgian middle class. This fact affects the terms and conditions of loan allocations as well as the rates and charges levied by banks and other sister institutions. However, the future of the entire economy in Belgium is at stake. The country is facing a very complex situation involving credit institutions and all the players involved.
Following the whole affair around mortgage loans, the bankel had to make a new report to decide on its new proposal. The majority of Belgian banks were therefore forced to refuel their account with an amount of 550 million euros. It is a risk prevention of all loans (not just the mortgage) that financial institutions provide to consumers.
However, details about the distribution or timing of these conditions have not yet been clearly determined. The case then remains unresolved, but has led to many questions. It is, moreover, at the heart of several political debates. The future promises to provide a common interest to all social, economic and political actors.