Mortgage interests increases to 33.8% in March

The average interest rate for mortgage loans among commercial banks reached 33.8 percent in March 2017.

The figure recorded a 2 percent increase as compared to the 33.6 percent recorded at the end of February 2017.

According to the Bank of Ghana’s Annual Percentage and Average Interest report, GCB Bank still offers the highest interest on mortgages.

Potential home buyers would be charged as much as 40.3 percent on loans they contract from the bank.

Meanwhile Bank of Baroda still offers the lowest interest rate on home loans with a charge of between 22.0 and 28.0 percent.

Of the thirteen banks that offer mortgage loans, GCB Bank is followed closely by Bank of Africa with 36.6 percent, the Royal Bank with 35.5 to 40.5 percent and Cal Bank with 35.3 percent.

Barclays Bank comes 5th with 35.1 to 39.1%, Ecobank 6th with 34.1 percent and Prudential Bank seventh with 33.6 percent.

The eighth highest interest on mortgage is offered by UT Bank at 33.1%, Sahel Sahara Bank 9th with 33.0 and FBN Ghana with 32.8 percent.

However, Bank of Baroda will offer you the lowest interest rate on your home loans which is between 22.0 and 28.0 percent.

Following closely is Stanbic Bank with 28.3 and HFC Bank with 31.1 percent.

Meanwhile eighteen banks, according to the BoG report, do not offer mortgage loans.

They include; Access Bank, ADB, Energy Bank, First Atlantic Bank, Capital Bank, Fidelity Bank, First National Bank.

Others are; GN Bank, GT Bank, NIB, Omnibank, Sovereign Bank, Standard Chartered Bank, SG Bank, UBA, Universal Merchant Bank, Unibank and Zenith Bank.

 

Sourcecitibusinessnews.com

 

The Republic News Online

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