The amount of mortgage finance granted in Egypt during April 2020 dropped by 84.2% compared to April 2019 figures, according to the Financial Regulatory Authority (FRA).
The FRA noted that funds worth EGP 62.7m were granted in April 2020, compared to EGP 395.8m in April 2019.
Mortgage finance companies provided funds worth EGP 750m in the period from January to April 2020, a decrease of 10.3% from EGP 836.4m in the same period of 2019.
Moreover, the FRA said the value of mortgage refinance in April 2020 reached EGP 33m, compared to EGP 161m in April 2019, reflecting a decline of 79.5%. A total of 83 mortgage finance contracts were undertaken during this April, compared to 1,037 contracts a year earlier in April 2019, a decline of 92%.
Investors in the monthly income bracket of up to EGP 2,500 acquired EGP 200,000 in mortgage finance, through a total of seven contracts, in April 2020. This compared to EGP 41.7m gained through a total of 356 contracts, in April 2019.
Investors within the monthly income bracket of EGP 2,500 – EGP 3,500 acquired mortgage funds of EGP 300,000 through a total of nine contracts in April 2020. This compared to the 99 contracts worth EGP 12.1m in the same period of the previous year.
Meanwhile, investors within the monthly income bracket of EGP 3,500 or more acquired EGP 62.2m through 67 contracts in April 2020. This compared to the 582 contracts worth EGP 342m of funds in the same period of the previous year.
The report highlighted that the Mortgage Finance Fund did not provide any funds during April 2020, compared to 489 contracts worth EGP 55.5m it provided in April 2019.