Mortgages in Finland 2007 (Market Guide): Table of Contents

Table of Contents

Mortgages in Finland 2007 (Market Guide) - This is an update on the Finnish mortgage market, providing latest market size and competitor shares data, as well as an updated five-year forecast.

Product Code: dmfs2098

Price: $1695

Publication Date: 12-Dec-2007

Overview

Introduction

Mortgage gross advances have grown significantly in Finland over the past five years. In 2006 gross mortgage lending reached €31.0 billion. What are the current issues facing this market? How are housing policies affecting its performance? Who are the biggest lenders? What will be the size of the sector in the next five years? This report provides the answers.

Scope

Covers the residential mortgage market.
Provides market sizing data in terms of gross advances and balances outstanding.
Provides competitor market share for the top five players in terms of balances outstanding.
Looks at housing policies, regulations and issues in the mortgage market.

Report Highlights

Despite typical mortgage rates increasing in the past year, average annual house price growth remained strong in Finland reaching 7.5% in 2006.

Although securitization has been in practice for some years, it has not been until the last couple of years that this method of funding has started to gain in popularity.

Housing policy in Finland still remains largely focused on providing housing with decent standards for all the population, hence the importance of the state in national housing development.

Reasons to Purchase

Learn how the Finnish residential mortgage market has developed over the last five years.
Understand the recent developments in the mortgage market in terms of regulations and competitor shares.
Find out Datamonitor's opinion on the future performance of the Finnish mortgage market over the next five years and its future prospects.

Overview	1
Catalyst	1
Summary	1
Executive Summary	2
Market size	2
Forecasts	2
Key issues	3
Key market players	4
Table of Contents	5
Table of figures	6
Table of tables	7
Market Context	8
Country overview	8
Demographics data on a selection of major western European countries	10
Population	10
Economy	11
Housing market	16
Housing stock	16
House prices	18
Government housing intervention	19
Taxes, subsidies and housing schemes	19
Market data	20
Mortgage interest rates	20
Market size	21
Balances outstanding	21
Gross advances	23
Product lines	24
Market structure	24
The banking structure	24
Commercial banks (joint stock banks)	25
Foreign banks	25
Savings banks	25
Co-operative banks	25
Mortgage market structure	26
Major types of player	26
Funding	26
Distribution	27
Regulatory environment	28
Industry regulators	29
Suomen Pankki	29
Rahoitustarkastus	29
Industry associations	29
Suomen Pankkihdyistys	29
Housing Fund of Finland (ARA)	29
Suomen Kuluttajallitto	29
Credit bureaus	30
Regulatory issues and developments in the mortgage market	30
The birth of an integrated European mortgage market is still very far off	30
Basel II will mean a number of changes for lenders	30
National mortgage-related regulations	31
Key issues	32
Competitor and Product Overview	33
Top five mortgage lenders	33
Market share by balances outstanding	33
Product analysis	35
Market Forecasts	36
Forecasting gross advances	36
Datamonitor forecasts a slowdown for the Finnish mortgage market	36
Future prospects	38
Market attractiveness	38
Market inhibitors	39
APPENDIX	40
Tables relating to Chapter 2: Market Context	40
Definitions	41
Balances outstanding	41
CAGR	41
Fixed rate mortgage	41
Gross advances	42
Loan-to-value (LTV)	42
Mortgage intermediary	42
Remortgaging	42
Variable mortgage	42
Forecasting methodology	42
Research methodology	42
Further reading	43
European Mortgages	43
Ask the analyst	43
Datamonitor consulting	44
Disclaimer	44
List of Tables
Table 1: Forecast of residential mortgage gross advances in the Finnish market , 2005-11f, (€m)	2
Table 2: Total population across major western European countries, 2002-06	10
Table 3: GDP at current rates across major western European countries, 2002-06, (€bn)	11
Table 4: GDP per capita at current rates across major western European countries, 2002-06, (€)	12
Table 5: GDP growth rates across major western European countries, 2002-06, (%)	13
Table 6: GDP composition by sector across major western European countries, 2006, (%)	14
Table 7: Inflation across major European countries, 2002-06, (%)	15
Table 8: Unemployment rates across major western European countries, 2002-06, (%)	16
Table 9: Residential mortgage balances outstanding as a percentage of GDP of selected European countries, 2006	23
Table 10: Market share of top five competitors in Finland in terms of balances outstanding, 2005-06, (€m)	34
Table 11: Forecast of residential mortgage gross advances in the Finnish market , 2005-11f	37
Table 12: Total dwelling stock in Finland, 2002-06, (000s)	40
Table 13: Average house price growth in Finland, 2002-06	40
Table 14: Typical mortgage interest rates in the Finnish residential market and the ECB base rate, Q3 2004-Q4 2006, (%)	40
Table 15: Residential mortgage balances outstanding in Finland, 2002-06, (€m)	41
Table 16: Residential mortgage gross advances in Finland, 2002-06, (€m)	41
Table 17: Residential mortgage net lending in Finland, 2002-06, (€m)	41
List of Figures
Figure 1: Mortgage gross advances have been growing rapidly in Finland, 2002-06	2
Figure 2: OP Bank has the largest market share of the residential mortgage market in Finland, 2005-06	4
Figure 3: A snapshot of Finland's key statistics, 2006	9
Figure 4: The dwelling stock in Finland reached 2.7 million in 2006	17
Figure 5: Around 58% of dwellings were owner-occupied in Finland in 2006	18
Figure 6: Average annual house price growth in Finland stood at 7.5% in 2006, 2002-06	19
Figure 7: Typical mortgage rates have been increasing in Finland, Q3 2004-Q4 2006	20
Figure 8: Total mortgage balances outstanding reached €54.9 billion at year-end 2006, 2002-06	21
Figure 9: Net lending fell to €6.8 billion in 2006, 2002-06	22
Figure 10: Mortgage gross advances have been growing rapidly in Finland, 2002-06	24
Figure 11: The four pillars of Finnish Banking, 2007	26
Figure 12: Regulatory overview of Finland, 2007	28
Figure 13: OP Bank has the largest market share of the residential mortgage market in Finland, 2005-06	33
Figure 14: The Finnish mortgage market is forecasted to reach €55.8 billion in 2007, 2005-11f	37

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