Sunday, February 5, 2017

Many home buyers use the personal loan as equity – Aftenbladet.en

One of the five eiendomsmeklere have experienced that home buyers are using personal loans to be able to provide the necessary equity, shows a study.

In the survey that Norway’s real estate agents, and Storebrand has implemented responding to around 500 of the 3,000 took part that they have experienced that home buyers use personal loans in pay for the apartment one or more times, reports NRK.

It means that some of those who have the worst advice, also takes up the most clearly the most expensive loans.

- With high house prices, we know that egenkapitalkravet increases, and then we are also afraid that several will be tempted to take the personal loans to be able to get into the housing market, ” says Carl O. Geving, managing director of Norway’s real estate agents.

We do not believe that this is a very widespread problem, but it is very unfortunate when it happens. It means that people incur greater debt than their economies can withstand, ” says Geving.

the consumer ombudsman will investigate the marketing of residential projects

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