China News Agency, Taipei, June 20. Following Taiwan's first interest rate hike in March this year after a lapse of nearly 11 years, on June 17, the Taiwan authorities' monetary policy authority once again announced an increase in policy interest rates.
In the face of two interest rate hikes in three months, a new survey shows that the Taiwanese people's willingness to buy a house has hit a new low in nearly 37 months, and it has also hit a seven-month low.
According to Taiwanese media reports such as "Economic Daily" and Central News Agency, the interest rate hike in March by 0.25 percentage points, superimposed on the new crown epidemic in April, deterred new home loan households.
According to the statistics of Taiwan's "Financial Supervision and Administration Commission", the number of mortgage loan households in Taiwan's public banks was 2.005 million at the end of April, an increase of only 743 households (0.04%) compared with March. monthly low.
Cathay Pacific Financial Holdings released the results of the June public economic confidence survey on the 20th. Among them, in the housing transaction survey, the public's willingness to sell houses fell from -8.3 in May to -12.2, the lowest since November 2021.
The willingness to buy a house index also fell to -53.5 from -52.6 in May, the lowest level in nearly 37 months.
The survey also showed that 42.9% of the public had no intention to buy a house, and another 6.5% believed that the low proportion of mortgage loans would not affect their willingness to buy a house.
In addition, 50.6% of the people believe that if the interest rate is raised again, it will affect the willingness to buy a house.
As for the main reasons for people to buy a house, the survey results show that 28.4% of the people want to buy a house because of the needs of marriage or living alone, 21.3% of the people want to change the house because the existing house is not enough, 16.4% of the people regard buying a house as an investment and wealth management, 11.2% The public is preparing for the future of their children, and 21.1% of the public are currently not willing to buy a house.
Some industry experts pointed out that if the rate of interest rate hike continues at this rate, it is estimated that the mortgage interest rate will climb to 2% before the end of the year at the earliest, catching up with the level before the financial tsunami 14 years ago in 2008. If the tax burden is added, it is estimated that The demand for house purchases by property buyers will decrease, and even the function of "buying a house to fight inflation" will fail.
Taiwan has raised interest rates twice in the past three months: on March 17, the joint meeting of supervisors of the authorities’ monetary policy authority decided to raise interest rates by 0.25 percentage points; on June 17, the policy interest rate was raised by 0.125 percentage points.
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