Analysis of the correlation between the real estate loan stock and the average unit value of urban housing

Dumitra Stancu and Alexandru Oproiu
Additional contact information
Dumitra Stancu: Technical University of Civil Engineering of Bucharest
Alexandru Oproiu: Bucharest University of Economic Studies

Theoretical and Applied Economics, 2014, vol. XXI, issue 1(590), 37-50

Abstract: Both the real estate market and the mortgage sector have had similar evolutions since 1990, with a significant influence on one another. In the first few years of this interval, the term „housing loans” was mostly associated with the state-run financing schemes for the purchase of such assets (the famous CARs), but after 2001 commercial banks entered this market segment. The products they initially offered were poorly adapted to demand, involving short maturities, high interest rates and impossible collateral, but soon the trend shifted and lending pushed up the construction of new buildings and that created an entire bull market. At the same time, personal loans helped fuel the population’s consumption for a significant time, but eventually ended up by being avoided due to the economic incertitude after 2008.

Keywords: real estate market; mortgage sector; housing loans. (search for similar items in EconPapers)
Date: 2014
References: Add references at CitEc
Citations:

Downloads: (external link)
http://store.ectap.ro/articole/941.pdf (application/pdf)
http://www.ectap.ro/articol.php?id=941&rid=106 (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:agr:journl:v:xxi:y:2014:i:1(590):p:37-50

Access Statistics for this article

Theoretical and Applied Economics is currently edited by Mircea Dinu

More articles in Theoretical and Applied Economics from Asociatia Generala a Economistilor din Romania / Editura Economica Contact information at EDIRC.
Bibliographic data for series maintained by Mircea Dinu ().