A. Primary Housing Finance Market
A.1 Industry Structure and Performance
| Variable | End of 2017 | End of 2016 | End of 2015 | Sources | Var ID |
|---|---|---|---|---|---|
| Number of firms originating and funding mortgage loans | 36 | 35 | The Banks | A.1.1 | |
| Types of originating lenders/market share: | A.1.2 | ||||
| Universal/ commercial banks | 44.44% of total | 42.86% of total | The Banks | A.1.2.1 | |
| Other depository institutions (savings and loans/mutual savings and credit institutions) | 55.56% of total | 57.14% of total | A.1.2.2 | ||
| Identify the 3 largest loan originating lenders | Swedbank AS, AS SEB Pank, Luminor Bank | Swedbank AS, AS SEB Pank, Nordea Bank AB Eesti filiaal | The Banks | A.1.3 | |
| Are there (quasi) public mortgage lenders: | No | No | Research | A.1.4 | |
| Level of Non-Performing Mortgage Loans (90 days or more past due): | A.1.6 | ||||
| Average 1997-2007 | A.1.7 | ||||
A.2 Size of Mortgage Finance Sector
| Variable | End of 2017 | End of 2016 | End of 2015 | Sources | Var ID |
|---|---|---|---|---|---|
| Total amount of home mortgage loans outstanding at the end of year in millions of USD: | 8,523.07 USD (millions) | 7,011.37 USD (millions) | 6,873.15 USD (millions) | Bank of Estonia | A.2.1 |
| Total amount of home mortgage loans outstanding at the end of year as % of GDP (current) | 32.82% | 30.03% | 30.44% | Bank of Estonia | A.2.1.1 |
| and as % of all credits outstanding | 58.1% | 42.71% | 47.26% | Bank of Estonia | A.2.1.2 |
| Total # of home mortgage loans outstanding at the end of year | 175.38 thousand | 170.44 thousand | 166.87 thousand | Bank of Estonia | A.2.2 |
A.3 Housing Finance Products
| Variable | End of 2017 | End of 2016 | End of 2015 | Sources | Var ID |
|---|---|---|---|---|---|
| Mortgage products as % of all mortgages (approx.) in local currency: | A.3.1 | ||||
| Loans based on foreign currency as % of all mortgage products | 0% | 0% | 0% | Bank of Estonia | A.3.2 |
| Most prevalent type of foreign currency mortgage used: | A.3.3 | ||||
| Most frequent interest rates on fully amortizing: | A.3.4 | ||||
| Typical lender fees associated with mortgage origination: | A.3.6 | ||||
| Typical third party fees associated with mortgage origination: | A.3.7 | ||||
| Loan-to-Value (LTV) on first mortgage: | A.3.8 | ||||
| Maximum LTV | 85 | 85 | 85 | Bank of Estonia | A.3.8.1 |
| Typical LTV at origination | 85 | 85 | 85 | Various commercial banks | A.3.8.2 |
| Maximum term over which pmt is calculated? | 30 years | 30 years | 30 years | Bank of Estonia | A.3.9 |
| Mortgage pmt-to-income ratio | A.3.10 | ||||
| Maximum pmt-to-income ratio (Individual income) | 50% | 50% | 50% | Bank of Estonia | A.3.10.2 |
| Typical pmt-to-income ratio (HH income) | 40% | Swedbank, SEB, Nordea Bank | A.3.10.3 | ||
A.4 Lending and Servicing Process
| Variable | End of 2017 | End of 2016 | End of 2015 | Sources | Var ID |
|---|---|---|---|---|---|
| Does the mortgage industry use standard principles/guidelines for underwriting? | Yes | Yes | yes | Bank of Estonia | A.4.1 |
| Which institutions define underwriting rules? | A.4.2 | ||||
| Central Bank/Ministry of Finance | Yes | Yes | yes | Bank of Estonia | A.4.2.1 |
A.5 Credit Risk Assessment
| Variable | End of 2017 | End of 2016 | End of 2015 | Sources | Var ID |
|---|---|---|---|---|---|
| Do credit bureaus exist? | Yes | Yes | yes | Doing Business | A.5.2 |
| Is mortgage default insurance available? | Yes | Yes | yes | SEB | A.5.3 |
B. Funding Sources for Mortgages and the Secondary Mortgage Market
| Variable | End of 2017 | End of 2016 | End of 2015 | Sources | Var ID |
|---|---|---|---|---|---|
| What are the main funding sources for mortgages? | B.1 | ||||
| Retail funding (deposits/other) | primary | primary | primary | Bank of Estonia | B.1.1 |
| Wholesale funding: loans from other banks or corporations | primary | OECD (2005) | B.1.2 | ||
| Funding through mortgage bonds | secondary | secondary | secondary | Bank of Estonia | B.1.3 |
C. Housing Microfinance
| Variable | End of 2017 | End of 2016 | End of 2015 | Sources | Var ID |
|---|---|---|---|---|---|
| Types of lenders operating in the housing micro-finance (HMF) sector: | C.2 | ||||
| Level of NPLs (>90 days past due) in HMF | C.4 | ||||