Europe Home Mortgage Finance Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Forecast Data Period | 2024 - 2029 |
| Historical Data Period | 2020 - 2022 |
| CAGR | 6.00 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Europe Home Mortgage Finance Market Analysis
Europe Home Mortgage Finance Market is poised to grow at a CAGR of 6% during forecast period.
Europe's home mortgage finance industry witnessed a significant decline owing to the outbreak of the COVID-19 pandemic. This was due to the lockdowns imposed by the government that led to the shutdown of various businesses, which in turn led to a huge job loss and unemployment in Europe. Being quarantined at home, people could not complete their day-to-day needs, and their income was stopped. Tenants had to move to their hometowns because having no jobs and paying rent was getting more difficult each day for them, making it difficult for the property owners to repay their loans. Additionally, because of unemployment, people needed more time to be ready to opt for home loans, home mortgages, or any other related service, which resulted in a decline in the demand for this market.
Of the various forms of investment, residential or real estate investment is still a very popular investment option not only in Europe but all across the globe. Housing loans account for approximately 77% of total adjusted loans. The growth rate of lending to households gradually increased over the years to reach a high of 4.2% last year. Meanwhile, the Euro area bank interest rate on loans for house purchases moved steadily downwards from 3.9% in August 2011 to 1.3% in August 2021. An increase in the affordability of houses and the adoption of housing finance services among individuals and businesses for various purposes, such as purchasing new lands, buying new houses, and various residential construction projects, is expected to drive the growth of this market during the forecast period.
Europe Home Mortgage Finance Market Trends
This section covers the major market trends shaping the Europe Home Mortgage Finance Market according to our research experts:
Increased Number of Salaried Individuals is Driving the Market Growth
The increasing number of business-class or salaried individuals are now opting for housing mortgage loans owing to the realization that residential rental payments are equivalent to the EMIs is primarily driving the housing mortgage market in Europe. Furthermore, various schemes formed by developers or builders, and the government, such as late EMI payments and construction-linked plans, lead to market growth.
Increase in Demand for Housing Over the Years is Driving the Growth of the Market
The high demand for housing reflected the low-interest rate environment combined with changing preferences of consumers due to the COVID--19 pandemic. The European banks' strong capital and liquidity positions have enabled them to fulfill, to a great extent, the demand for housing, expanding their exposures toward mortgage loans. The supply of housing was unable to keep up with the demand due to a lack of housing investments in previous years, construction constraints, and supply-chain disruptions caused by the pandemic. This, in turn, resulted in a much high growth rate in house prices.
Europe Home Mortgage Finance Industry Overview
Europe's home mortgage finance market is fragmented in nature. It has a large number of considerable regional and local players in the market. Some of the major players in this market are Rocket Mortgage, United Shore Financial, Aareal Bank, Bank of America, and Barclays Corporate Banking.
Europe Home Mortgage Finance Market Leaders
-
Rocket Mortgage
-
United Shore Financial
-
Aareal Bank
-
Bank of America
-
Goldman Sachs
*Disclaimer: Major Players sorted in no particular order
Europe Home Mortgage Finance Market News
- November 2022: Rocket Mortgage, the nation's largest mortgage lender and a part of Rocket Companies, today introduced a conventional loan option for Americans interested in purchasing or refinancing a manufactured home.
- November 2022: The Council of Europe Development Bank (CEB) approved four new loans worth EUR 232.5 million to boost affordable housing and other social sector development. Under this, it offered EUR 25 million in loans to Kosovo to finance the 'Adequate Social Housing Programme' to establish a sustainable social and affordable housing system in the country.
Europe Home Mortgage Finance Market Report - Table of Contents
1. INTRODUCTION
- 1.1 Study Deliverables
- 1.2 Study Assumptions
- 1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET DYNAMICS
- 4.1 Market Overview
- 4.2 Market Drivers
- 4.3 Market Restraints
-
4.4 Porter's Five Forces Analysis
- 4.4.1 Threat of New Entrants
- 4.4.2 Bargaining Power of Buyers/Consumers
- 4.4.3 Bargaining Power of Suppliers
- 4.4.4 Threat of Substitute Products
- 4.4.5 Intensity of Competitive Rivalry
- 4.5 Impact of COVID-19 on the Market
5. MARKET SEGMENTATION
-
5.1 By Application
- 5.1.1 Home Purchase
- 5.1.2 Refinance
- 5.1.3 Home Improvement
- 5.1.4 Other Applications
-
5.2 By Providers
- 5.2.1 Banks
- 5.2.2 Housing Finance Companies
- 5.2.3 Real Estate Agents
-
5.3 By Interest Rate
- 5.3.1 Fixed Rate Mortgage Loan
- 5.3.2 Adjustable Rate Mortgage Loan
6. COMPETITIVE LANDSCAPE
- 6.1 Market Concentration Overview
-
6.2 Company Profiles
- 6.2.1 Rocket Mortgage
- 6.2.2 United Shore Financial
- 6.2.3 Aareal Bank
- 6.2.4 Bank of America
- 6.2.5 Barclays Corporate Banking
- 6.2.6 BNP Paribas
- 6.2.7 Citibank Europe PLC
- 6.2.8 Crédit Agricole
- 6.2.9 Deutsche Bank AG
- 6.2.10 Goldman Sachs*
- *List Not Exhaustive
7. MARKET OPPORTUNITIES AND FUTURE TRENDS
8. DISCLAIMER AND ABOUT US
** Subject To AvailablityEurope Home Mortgage Finance Industry Segmentation
Housing finance is a type of lending service that offers money to purchase new properties, such as a home or land, to the end users. This helps individuals and businesses to purchase these housing properties without giving the entire buying price at once. The person borrowing this money repays the loan amount and interest up to the specified number of years.
The Europe home mortgage finance market is segmented by application (home purchase, refinance, home improvement, and others), by providers (banks, housing finance companies, and real estate agents), and by interest rate (fixed rate mortgage loan and adjustable rate mortgage loan). The report offers market size and forecasts for Europe Home Mortgage Finance Market in value (USD Million) for all the above segments.
| By Application | Home Purchase |
| Refinance | |
| Home Improvement | |
| Other Applications | |
| By Providers | Banks |
| Housing Finance Companies | |
| Real Estate Agents | |
| By Interest Rate | Fixed Rate Mortgage Loan |
| Adjustable Rate Mortgage Loan |
Europe Home Mortgage Finance Market Research FAQs
What is the current Europe Home Mortgage Finance Market size?
The Europe Home Mortgage Finance Market is projected to register a CAGR of greater than 6% during the forecast period (2024-2029)
Who are the key players in Europe Home Mortgage Finance Market?
Rocket Mortgage, United Shore Financial, Aareal Bank, Bank of America and Goldman Sachs are the major companies operating in the Europe Home Mortgage Finance Market.
What years does this Europe Home Mortgage Finance Market cover?
The report covers the Europe Home Mortgage Finance Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Europe Home Mortgage Finance Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Europe Home Mortgage Finance Industry Report
Statistics for the 2024 Europe Home Mortgage Finance market share, size and revenue growth rate, created by Mordor Intelligence™ Industry Reports. Europe Home Mortgage Finance analysis includes a market forecast outlook to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
