Mexico Mortgage Loans To Ignite Market

By: Investment Properties Mexico
Mexico mortgage loans will show solid growth in 2010, according Mexico’s largest bank, Grupo Financiero BBVA Bancomer.

The news fuels expectations that expanding Mexico mortgage loans will ignite the Mexico real estate market in 2010.

Speaking at a press conference last month, Ignacio Deschamps, Bancomer’s president and chief executive, said “Credit will grow in a dynamic way at Bancomer in 2010 … we will seek double-digit growth in all of our portfolios”.

Deschamps expects Mexico mortgage and small business loans to grow more than 20% in 2010.

Earlier in 2009 the federal government-backed mortgage agency, Infonavit, sold almost $200 million of Mexico mortgage-based securities through financial markets and a top Citigroup banker said Mexican bank loans will grow at a faster rate than the economy.

Mexico mortgage loans at Bancomer expanded 1% to MXN118.41 billion in 2009 and further growth in 2010 will depend to a large degree on a recovery in consumer lending, Deschamps said.

The Mexico mortgage cash will give the already buoyant Mexican property market a significant extra boost, adding to the reasons to invest in Mexico real estate in 2010.

Visit the author’s website to find out more about the real estate market, and Mexico mortgage and loan information.