The average mortgage rate rose to 2.91 percent in December from 2.78 percent the previous month. According to Fincentrum Hypoindex data, mortgages have risen at the fastest rate in 10 years.
The size of an average mortgage loan grew steadily throughout 2018 to stand at nearly 2.3 million crowns in December.
The number of applicants had surged in September as people sought to get mortgages before tougher lending guidelines set by the Czech National Bank came into effect on October 1.
Under the guidelines, a borrower should not be eligible for a loan which is greater than nine times their annual net income, or need to spend over 45 percent of their monthly net income to service the debt.
Czech biochemist involved in developing potential coronavirus treatment
“Einstein in Bohemia” – Part II: how alienation in ‘half-barbaric’ Prague led him to a new theory of gravity, eventual love of a free Czechoslovakia
Coronavirus: Prague Airport designates special gates for arrivals from Italy
Coronavirus: Czechs to convene commission following spread to Italy
Enter the Dragon: Czech glass artworks master Lasvit installs ‘world’s biggest jewels’ in luxury Saipan hotel