Borrowing for house purchases falls again

Monday 26 March 2012 12.00
Central Bank figures indicate a fall for the 8th consecutive quarter in borrowing for house purchase
Central Bank figures indicate a fall for the 8th consecutive quarter in borrowing for house purchase

Figures released by the Central Bank show that the amount of money borrowed for buying a house has fallen for the eighth consecutive quarter.

The total amount of loans outstanding for home purchase is €80.4 billion. This was a fall of 2.4% from 2010, and a decline in 0.5% in the last quarter of 2011.

Figures released by the Central Bank reveal that €100 billion in credit was extended to Irish private households by resident credit institutions at the end of December 2011.

That's a decline of 0.8% in the last quarter of 2011 and annual decline of 3.1%.

The total amount of money owed in loans by private households at the end of December 2011 stands at €150.1 billion.

That includes loans for house purchase, that have been securitised and continue to be serviced by resident credit institutions.

The total held on deposit in resident credit institutions for Irish private households was €86.2 billion at the end of December 2011. That marks a 0.5% decline in the last quarter of 2011 and an annual decline of 3.3%.

The Central Bank says that the figures have been adjusted to take the exit of Bank of Scotland (Ireland) from the market at the end of 2010 into account.