Housing loans in Singapore merely grew by 6.2 percent year-on-year in November 2014 – its slowest pace in seven years, reflecting the prevailing humdrum in the residential property market.
According to media reports quoting Maybank Kim Eng, these mortgages make up 29 percent of the overall lending in Singapore.
“We expect slower housing loan growth in 2015 with drawdowns for newly completed homes to feed loan growth,” it said.
The loans of banks that it tracks are expected to grow at an average rate of nine percent this year, short of the 9.3 percent growth forecast for last year.
“Given the pace of the slowdown locally, there is a risk that our 12 percent business loan growth projection for 2015 may not be met,” added the financial institution.
Muneerah Bee, Senior Journalist at PropertyGuru, edited this story. To contact her about this or other stories email muneerah@propertyguru.com.sg
