Yield on mortgage
bank bonds, long and
shortterm government
loans
There is some evidence that the retail property market may have
reached saturation with retail development only possible in growth
areas where there is still some scarcity of store space. Within the inner
cities there is some regrouping of the shopping areas. Because the
decline in consumer spending is clearly apparent, it is generally felt that
the expansion of shopping facilities is currently much too risky.
The deteriorating condition of the real estate market naturally affects
the mortgage market. The guilder volume of recorded new residential
mortgages for the first nine months of 1981 was 19 per cent lowerthan
in the same period of 1980. Guilder volume of recorded mortgages for
commercial property was down 15 per cent. All recording by mortgage
banks and building societies fell by a total of 39 per cent during the same
comparative period. In view of the fact that new mortgages still exceed
repayment, the value of outstanding mortgages held by financial
institutions increased from 147.7 billion guilders to an estimated 159.6
billion. Our market share declined slightly in 1981.
1978
1979
1980
1981
FGH mortgage
bank bonds
Long term
government
10.5 loans 10 years)
Shortterm
government
loans 5 years)
j f ma mj j a s o n d j f ma mj j a s o n d j f ma mj j a s o n d j f ma mj j a s o n d
15
