The United Kingdom, Germany, and France were the countries with the largest mortgage markets in Europe in 2024, when considering the value of loans outstanding. In the fourth quarter of the year, the UK had nearly *** billion euros worth of mortgages outstanding. Other countries with large mortgage markets included the Netherlands, Spain, Sweden, and Italy - all exceeding *** billion euros. One of the main drivers of mortgage activity is the cost of borrowing. In 2022, interest rates increased dramatically across Europe. Ireland, and Germany remained among the few countries with an average interest rate under four percent.

Poland, Croatia, and Romania were the countries with the highest coverage ratio of non-performing mortgage loans to households in the second quarter of 2023. In Poland, the coverage ratio was almost 68 percent, while in the Netherlands, which was one of the countries with the lowest share of non-performing mortgages, this share was 11.4 percent. The coverage ratio measures the share of non-performing loans covered by provisions and is calculated as the total specific allowances for loans and leases divided by the total gross impaired loans and debt securities.

Dutch households had over 839 billion euros of outstanding mortgage loans as of the third quarter of 2024, the highest value on record. Despite its relatively small population size, the Netherlands had a much higher mortgage debt than most other European countries and was not far from those found in the United Kingdom, France, or Germany. This has a political background, as the Dutch government, for many years, wanted to help people to buy a house. The tax system allowed homeowners to deduct interests paid on mortgage from pre-tax income for a maximum period of thirty years. This was known as hypotheekrenteaftrek, and consequently led to the Netherlands becoming the European country with the second-highest share of the population who is an owner-occupier with a mortgage. Since 2014, the Dutch government is slowly scaling this tax facility down, with an acceleration planned from 2020 onwards. What are the biggest companies in the Dutch mortgage market? The top three banks, ABN AMRO, Rabobank and ING, provided 45 percent of mortgages in the Netherlands in the second quarter of 2023. Another seven percent of the market was provided by banks outside the traditional top three. Note that these are combined numbers, as there are no market shares that look at mortgage providers individually. Banks, insurance companies, regiepartijen (funds that originate mortgage loans on behalf of institutional investors, no English word exists for this term) and other providers do not have to share this information openly. The risk of underwater mortgages As many people in the Netherlands both own a house and have a mortgage as well, a big theme is the risk of a house going underwater or negative home equity. This occurs when people effectively pay more for their mortgage than their house is worth and happened, for example, between 2009 and 2013, when the average valuation of a house outweighed the average selling price. For this risk alone, one can find much data on residential property in the Netherlands. For example, quarterly pulse monitors state that housing prices in the Netherlands are set to decline in 2024.

The total outstanding residential mortgage lending in Sweden increased with some fluctuation from 2016 to 2024, reaching a value of close to 468 billion euros in the second quarter of 2024. Sweden has a well-developed mortgage market, making it one of the leading countries in Europe by value of mortgages outstanding. The mortgage interest rate in Sweden rapidly increased in 2022.

The total amount of outstanding residential mortgage lending in France increased from 963 billion euros in 2018 to almost 1.3 trillion euros in 2024. In the second quarter of 2024, France was one of three European countries that exceeded one trillion in outstanding residential mortgage lending, besides the United Kingdom and Germany.

Analysis of ‘Mortgages constituted, over the total properties, by entity granting the loan. HPT (API identifier: 3216)’ provided by Analyst-2 (analyst-2.ai), based on source dataset retrieved from http://data.europa.eu/88u/dataset/urn-ine-es-tabla-t3-289-3216 on 08 January 2022.

--- Dataset description provided by original source is as follows ---

Tabla de INEbase Hipotecas constituidas sobre el total de fincas por entidad que concede el préstamo. Anual. Provincias. Estadística de Hipotecas

--- Original source retains full ownership of the source dataset ---

The total amount of outstanding residential mortgage lending in France increased from *** billion euros in 2018 to almost *** trillion euros in 2024. In the fourth quarter of 2024, France was one of three European countries that exceeded one trillion in outstanding residential mortgage lending, besides the United Kingdom and Germany.

This dataset provides values for LOAN GROWTH reported in several countries. The data includes current values, previous releases, historical highs and record lows, release frequency, reported unit and currency.

This data set contains Help to Buy: Equity Loan statistics at local authority level and includes total equity loans and equity loans to first time buyers . For data released from 5 March 2015 onwards, the Homes and Community Agency (HCA) have revised the completion date for the entire Help to Buy Equity Loan time series. The HCA have stopped counting payment date (when the money out is paid out by the HCA) and now report on the expected actual completion date. It is more accurate and is closer to the live situation, especially when HCA now recognise an asset based on a completion, rather than exchange and approved claim. As a result (and due to reinstating accounts) HCA have seen movement of actual completions dates. There should not be this level of difference moving forward, it was a one off activity. The figures cover the launch of the scheme on 1 April 2013 until 30 September 2016.

Information on the allocation of completed sales to postcode sectors is derived using the latest available information on the full postcode for each scheme, which may be subject to revision.

For sales before 31 March 2014, properties are included under the local authority district to which they were initially allocated. In some cases, this differs from latest information, which forms the basis of the first column of local authority district figures. Figures for some local authorities may be subject to revisions later in the year.

Although local authority information is validated against other geographic data at the time of data entry, detailed reconciliation of the data, conducted twice a year, may result in a small number of changes to these monthly releases, for example where a new development crosses a local authority boundary.

An equity loan is Government financial assistance given to eligible applicants to purchase an eligible home through a Government equity mortgage secured on the home. The Government equity mortgage is ranked second in priority behind an owner’s main mortgage lender.

This scheme offers up to 20 per cent of the value as Government assistance to purchasers buying a new build home. The buyer must provide a cash deposit of at least 5 per cent and a main mortgage lender must provide a loan of at least 75 per cent.

The Government assistance to buy is made through an equity loan made by the Homes and Communities Agency (HCA) to the purchaser.

Help to Buy equity loans are only available on new build homes and the maximum purchase price is £600,000. Equity loan assistance for purchasers is paid via house builders registered with the HCA to participate in the Help to Buy equity loan initiative. The payment is made to builders (via solicitors) at purchaser legal completion.

The equity loan is provided without fees for the first five years of ownership.

The property title is held by the home owner who can therefore sell their home at any time and upon sale should provide the government the value of the same equity share of the property when it is sold.

For further information see
Help to Buy (equity loan) scheme monthly statistics.

This data set contains Help to Buy: Equity Loan statistics at postcode district level. For data released from 5 March 2015 onwards, the Homes and Community Agency (HCA) have revised the completion date for the entire Help to Buy Equity Loan time series. The HCA have stopped counting payment date (when the money out is paid out by the HCA) and now report on the expected actual completion date. It is more accurate and is closer to the live situation, especially when HCA now recognise an asset based on a completion, rather than exchange and approved claim. As a result (and due to reinstating accounts) HCA have seen movement of actual completions dates. There should not be this level of difference moving forward, it was a one off activity. The figures cover the launch of the scheme on 1 April 2013 until 30 September 2016.

Figures have been attributed to an individual constituency by reconciling data against the ONS Postcode Directory (May 2014) where possible. Figures for some constituencies may be subject to revision later in the year.

For sales before 31 March 2014, properties are included under the local authority district to which they were initially allocated. In some cases, this differs from latest information, which forms the basis of the first column of local authority district figures. Figures for some local authorities may be subject to revisions later in the year. Although local authority information is validated against other geographic data at the time of data entry, detailed reconciliation of the data, conducted twice a year, may result in a small number of changes to these monthly releases, for example where a new development crosses a local authority boundary.

An equity loan is Government financial assistance given to eligible applicants to purchase an eligible home through a Government equity mortgage secured on the home. The Government equity mortgage is ranked second in priority behind an owner’s main mortgage lender.

This scheme offers up to 20 per cent of the value as Government assistance to purchasers buying a new build home. The buyer must provide a cash deposit of at least 5 per cent and a main mortgage lender must provide a loan of at least 75 per cent.

The Government assistance to buy is made through an equity loan made by the Homes and Communities Agency (HCA) to the purchaser.

Help to Buy equity loans are only available on new build homes and the maximum purchase price is £600,000. Equity loan assistance for purchasers is paid via house builders registered with the HCA to participate in the Help to Buy equity loan initiative. The payment is made to builders (via solicitors) at purchaser legal completion.

The equity loan is provided without fees for the first five years of ownership.

The property title is held by the home owner who can therefore sell their home at any time and upon sale should provide the government the value of the same equity share of the property when it is sold.

For further information see
Help to Buy (equity loan) scheme monthly statistics.

In 2024, mortgages made up the largest share of loans to households in the Eurozone, with an outstanding amount of over five trillion euros. In contrast, the value of the consumer credit granted to European households amounted to approximately 739 billion euros. Sole proprietor loans, which refer to lending granted to a business that is owned and operated by a single person, amounted to 359 billion euros in 2024, a lower figure than in previous years.

Residential Mortgage Service Market Outlook

The global residential mortgage service market size was valued at approximately USD 2.5 trillion in 2023 and is projected to reach USD 4.3 trillion by 2032, growing at a robust CAGR of 5.8% during the forecast period. This anticipated growth is driven by several factors including increasing urbanization, rising disposable incomes, and ongoing technological advancements in financial services. The market is witnessing substantial growth due to the surge in demand for housing loans, as more individuals aspire to own homes, encouraged by favorable government policies and low-interest rates.

One of the primary factors propelling the growth of the residential mortgage service market is the increasing rate of urbanization. As more people move from rural to urban areas in search of better employment opportunities and living standards, the demand for residential properties skyrockets. This urban influx creates a significant need for mortgage services to facilitate the purchase of homes. Furthermore, the development of infrastructure in urban areas makes them more appealing to potential homeowners, thereby driving the market for residential mortgage services.

Another crucial growth driver is the rise in disposable incomes and the overall improvement in economic conditions across various regions. As individuals' financial situations become more stable, they are more likely to invest in long-term assets such as real estate. Moreover, the availability of diverse mortgage products tailored to meet the specific needs of different consumer segments further stimulates market growth. Financial institutions are constantly innovating to offer more flexible and appealing mortgage solutions, catering to both high-income and middle-income groups.

Technological advancements in the financial sector are also playing a pivotal role in the expansion of the residential mortgage service market. The incorporation of artificial intelligence (AI) and machine learning (ML) in mortgage services has streamlined the loan approval and underwriting processes, making them faster and more efficient. Digital platforms and mobile applications have made it easier for consumers to apply for mortgages and manage their loans, enhancing customer experience and satisfaction. This technological integration not only improves operational efficiency for lenders but also attracts a tech-savvy consumer base.

In terms of regional outlook, North America holds a significant share of the global residential mortgage service market, thanks to its well-developed financial sector and high demand for housing. Europe follows closely, with countries like Germany and the UK showing strong growth due to favorable economic conditions and government policies supporting home ownership. The Asia Pacific region is expected to witness the highest growth rate, driven by rapid urbanization and rising disposable incomes in countries like China and India. Latin America and the Middle East & Africa are also poised for growth, albeit at a slower pace, as they continue to develop their financial infrastructures.

Service Type Analysis

The residential mortgage service market can be segmented by service type into loan origination, underwriting, loan servicing, loan closing, and others. Loan origination covers the initial stage of the mortgage process, where potential borrowers apply for a mortgage. This segment is crucial as it sets the stage for the entire mortgage process, involving tasks such as pre-approval, credit checks, and property appraisals. The efficiency and effectiveness of the loan origination process can significantly impact customer satisfaction and the overall success of the mortgage provider. Technological advancements in this segment, such as automated underwriting systems, have enhanced the speed and accuracy of loan originations.

Underwriting, another critical segment, involves assessing the risk of lending to a borrower based on credit history, employment status, and financial health. The underwriting process determines whether the lender will approve the mortgage application and under what terms. This segment has seen significant innovation with the use of AI and big data analytics, which help in making more accurate risk assessments and reducing the time required for underwriting. For mortgage lenders, efficient underwriting processes are essential to minimize defaults and enhance profitability.

Loan servicing includes managing the ongoing loan payments, ensuring timely repayments, and handling customer service issues. This is a

Analysis of ‘Registered mortgaged cancellations, over the total properties, by entity granting the loan and nature of the property. HPT (API identifier: 3228)’ provided by Analyst-2 (analyst-2.ai), based on source dataset retrieved from http://data.europa.eu/88u/dataset/urn-ine-es-tabla-t3-289-3228 on 08 January 2022.

--- Dataset description provided by original source is as follows ---

Table of INEBase Registered mortgaged cancellations, over the total properties, by entity granting the loan and nature of the property. Annual. Autonomous Communities and Cities. Mortgages Statistic

--- Original source retains full ownership of the source dataset ---

The average balance of assets in form of credit in the Spanish banking system was lower in 2023 than in the previous year. The highest total value of lending in the Spanish banking system was registered in 2008, at roughly 2.4 trillion euros. In June 2023, Unicaja was the major Spanish bank with the highest non-performing loan ratio.

Better lending practices In response to the economic crisis, stricter financial regulations were implemented in EU countries and the household debt in Spain declined to more sustainable levels. These and other factors resulted in healthier performances within the Spanish banking sector and its lending practices, as several indicators demonstrate. The loan-to-deposit ratio (LTD), which measures the liquidity of a bank through the ratio of the funds it has in its deposits to the volume of loans granted to customers, fell from 150 percent in 2011 to roughly 101 percent in 2023. In addition, the non-performing loans (NPL) to total gross loans ratio has also fallen significantly from 2013 to 2022.

A country of homeowners The remarkable weight of house loans within the lending market derives from the fact that, traditionally, Spain has been a country of homeowners; as of 2019, the home ownership rate was roughly 76 percent. Furthermore, over a fourth of Spanish households own their property with a mortgage or outstanding loans. Nevertheless, the number of house loans have remained relatively low in the past decade in comparison to the years of the housing bubble.

This data set contains Help to Buy: Equity Loan statistics at parliamentary constituency level. For data released from 5 March 2015 onwards, the Homes and Community Agency (HCA) have revised the completion date for the entire Help to Buy Equity Loan time series. The HCA have stopped counting payment date (when the money out is paid out by the HCA) and now report on the expected actual completion date. It is more accurate and is closer to the live situation, especially when HCA now recognise an asset based on a completion, rather than exchange and approved claim. As a result (and due to reinstating accounts) HCA have seen movement of actual completions dates. There should not be this level of difference moving forward, it was a one off activity. The figures cover the launch of the scheme on 1 April 2013 until 30 September 2016.

Figures have been attributed to an individual constituency by reconciling data against the ONS Postcode Directory (May 2014) where possible. Figures for some constituencies may be subject to revision later in the year.

For sales before 31 March 2014, properties are included under the local authority district to which they were initially allocated. In some cases, this differs from latest information, which forms the basis of the first column of local authority district figures. Figures for some local authorities may be subject to revisions later in the year. Although local authority information is validated against other geographic data at the time of data entry, detailed reconciliation of the data, conducted twice a year, may result in a small number of changes to these monthly releases, for example where a new development crosses a local authority boundary.

An equity loan is Government financial assistance given to eligible applicants to purchase an eligible home through a Government equity mortgage secured on the home. The Government equity mortgage is ranked second in priority behind an owner’s main mortgage lender.

This scheme offers up to 20 per cent of the value as Government assistance to purchasers buying a new build home. The buyer must provide a cash deposit of at least 5 per cent and a main mortgage lender must provide a loan of at least 75 per cent.

The Government assistance to buy is made through an equity loan made by the Homes and Communities Agency (HCA) to the purchaser.

Help to Buy equity loans are only available on new build homes and the maximum purchase price is £600,000. Equity loan assistance for purchasers is paid via house builders registered with the HCA to participate in the Help to Buy equity loan initiative. The payment is made to builders (via solicitors) at purchaser legal completion.

The equity loan is provided without fees for the first five years of ownership.

The property title is held by the home owner who can therefore sell their home at any time and upon sale should provide the government the value of the same equity share of the property when it is sold.

For further information see
Help to Buy (equity loan) scheme monthly statistics.

Table of INEBase Mortgages constituted, over the total properties, by entity granting the loan. Monthly. Provinces. Mortgages Statistic

A loan, other than held for trading, is considered as non-performing if it satisfies either or both of the following criteria: (a) It is a material loan which is more than 90 days past-due; (b) The debtor is assessed as unlikely to pay its credit obligations in full without realisation of collateral, regardless of the existence of any past-due amount or of the number of days past-due. Non -performing loans include defaulted and impaired loans and follow the harmonised definition of the European Banking Authority (EBA) used for supervisory reporting. The MIP indicator is defined as total gross non-performing loans and advances as % of total gross loans and advances (gross carrying amount), for the reporting sector "domestic banking groups and stand-alone banks, foreign controlled subsidiaries and foreign controlled branches, all institutions". Data on domestically controlled banks are consolidated across borders and sectors at the prudential perimeter of consolidation. Data source: European Central Bank (ECB) Copyright notice and free re-use of data on: https://ec.europa.eu/eurostat/about-us/policies/copyright

The provided dataset traces the financial trajectory of the European Investment Bank (EIB) from 2000 to 2022, and has been derived from the EIB's annual financial reports. These reports offer a comprehensive account of the EIB's lending activities globally and specifically to countries outside of the European Union (non-EU or extra-EU), including and excluding the UK in the aftermath of Brexit. All numbers are in 2015 euros.

However, the EIB's annual reports do not explicitly present an aggregate view of its lending activities in Sub-Saharan Africa (SSA). Therefore, this dataset is particularly valuable as it combines the country-level data from the reports to provide an overview of the EIB's total lending to SSA over this period.

From 2015 to June 2024, the amount of loans and advances as a share of the bank assets in the European Union and other European Economic Area countries has remained relatively stable. Since 2015, that figure has always remained between 60 and 66 percent. This rate reached 60.5 percent in 2021. Cyprus, Lithuania, and Ireland were some of the European countries where banks had the the lowest level of loans as a share of their total assets.

Digital Mortgage Platforms Market Outlook

The global market size for Digital Mortgage Platforms was valued at $10 billion in 2023 and is projected to reach $25 billion by 2032, growing at a CAGR of 11%. This growth is driven by the increased adoption of digital technologies and a strong demand for efficient, user-friendly mortgage processing solutions. The mortgage industry, traditionally known for its paperwork-intensive processes, is undergoing a significant transformation due to advancements in digital technologies, resulting in faster, more secure, and more streamlined mortgage processes.

Several factors contribute to the robust growth of the digital mortgage platforms market. The most significant driver is the increasing demand for enhanced customer experience. Modern borrowers expect seamless, fast, and transparent mortgage processes. Digital platforms offer features such as document automation, digital signatures, and real-time status updates, which significantly improve the borrower experience. Furthermore, the COVID-19 pandemic has accelerated digital transformation across various industries, including the mortgage sector, as remote interactions become the norm.

Another critical growth factor is the cost-efficiency associated with digital mortgage platforms. Traditional mortgage processes involve substantial manual labor and paperwork, leading to higher operational costs and longer processing times. By adopting digital solutions, financial institutions can significantly reduce these costs and improve efficiency. For example, automated data entry and verification can minimize errors and speed up the process, leading to quicker loan approvals and disbursements. This cost-saving potential is making digital mortgage platforms highly attractive to lenders and financial institutions.

Regulatory compliance and risk management are also driving the adoption of digital mortgage platforms. These platforms are equipped with advanced compliance tools that ensure adherence to stringent regulatory requirements. Automated compliance features can help in early detection and mitigation of risks, reducing the likelihood of fraud and non-compliance penalties. As regulatory environments become more complex, the ability to manage compliance efficiently through digital platforms is becoming increasingly essential for lenders.

From a regional perspective, North America holds the largest market share due to early adoption of digital technologies and a well-established mortgage market. However, rapid digitalization in the Asia Pacific region is expected to generate significant growth opportunities. Countries like China and India are witnessing a surge in digital mortgage platform adoption due to increasing internet penetration and government initiatives promoting digital transactions. Europe also presents a promising market, with regulations such as the European Mortgage Credit Directive driving the need for digital compliance solutions.

Component Analysis

The digital mortgage platforms market is segmented by component into software and services. The software segment holds the largest share due to the extensive range of functionalities it offers, including loan origination, processing, closing, and compliance management. Software solutions are designed to automate and streamline the entire mortgage lifecycle, reducing the need for manual intervention and minimizing errors. The demand for advanced software solutions is further propelled by the need for improved borrower experience and operational efficiency.

On the other hand, the services segment is also witnessing significant growth. Services include training, implementation, consulting, and support, which are crucial for the successful adoption and utilization of digital mortgage platforms. Financial institutions often require expert guidance to integrate these platforms with their existing systems and to ensure that their staff is adequately trained to use the new technologies. Ongoing support and maintenance services are essential to address any technical issues and to keep the platforms updated with the latest regulatory changes.

Another factor driving the services segment is the rising demand for customization and personalization. Lenders seek tailored solutions that meet their specific requirements and cater to their unique business processes. Service providers play a crucial role in customizing digital mortgage platforms to align with the distinct needs of different lenders. As the market matures, the demand for specialized services is expected to grow, further contributing to the