{"id":18134,"date":"2016-06-30T13:42:14","date_gmt":"2016-06-30T06:42:14","guid":{"rendered":"http:\/\/www.siamlandbank.com\/propertynews\/property-news\/property-developers-in-indonesia-celebrate-relaxed-mortgage-rules\/"},"modified":"2016-06-30T13:48:56","modified_gmt":"2016-06-30T06:48:56","slug":"property-developers-in-indonesia-celebrate-relaxed-mortgage-rules","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/property-developers-in-indonesia-celebrate-relaxed-mortgage-rules\/","title":{"rendered":"Property developers in Indonesia celebrate relaxed mortgage rules"},"content":{"rendered":"


\nDevelopers and construction players cheer on lessened restrictions
\nImage credit: Simon Nowak (Flickr)
\nIndonesia\u2019s central bank has announced a loosening up of mortgage lending rules in a bid to defibrillate a sluggish economy and boost credit growth.
\nBank Indonesia (BI) will cut current down payment requirements for mortgages by 5 percent. Starting August, Indonesian homebuyers may require a downpayment as little 15 percent, 20 percent or 25 percent.
\nBI will also allow commercial institutions to issue mortgages for residential properties that are still in construction.
\nEarlier this month, BI had chopped the benchmark rate by 25 basis points to 6.50 percent and its seven-day repo rate to 5.25 percent. This marks the fourth time BI cut rates this year, defying expectations it would hold out on sweeping changes in anticipation of the UK referendum on the European Union.
\nMore: Why Indonesia\u2019s millennials are demanding more from real estate
\nBI\u2019s policy change was largely contingent on the Federal Reserve\u2019s slow pace at raising interest rates, which has eased anxieties about capital outflows.
\nThe new mortgage rules will take into account the size of the property and whether this is the homebuyer\u2019s first, second, or third purchase. First-time homebuyers will soon be able to take out mortgage loans for as much as 85 percent of the property value.
\nCurrent loan-to-value ratios are restricted to 80 percent for first-time buyers.
\nSome sectors have responded well to the less restrictive regulations. Barron\u2019s Asia noted that the Jakarta Construction Property and Real Estate index surged 5 percent this month after the announcement.
\nIn response to the new rules, property developer Metropolitan Land raised their sales target to IDR1.43 trillion (USD110 million), Jakarta Globe reported.
\nIn another move widely seen to spur liquidity in the property market, the Indonesian government will implement a tax amnesty law that may repatriate IDR560 trillion (USD42 billion) to the archipelago.
\nRead next: Indonesia Property Awards 2016 new date set, head judge named
\n
\nSource : property-report.com
\nRead more…Property developers in Indonesia celebrate relaxed mortgage rules<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

Developers and construction players cheer on lessened restrictions Image credit: Simon Nowak (Flickr) Indonesia\u2019s central...<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"false","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"spay_email":"","footnotes":"","jetpack_publicize_message":"","jetpack_is_tweetstorm":false,"jetpack_publicize_feature_enabled":true},"categories":[1],"tags":[],"class_list":["post-18134","post","type-post","status-publish","format-standard","hentry","category-property-news"],"jetpack_featured_media_url":"","jetpack_publicize_connections":[],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/p75ss1-4Iu","jetpack-related-posts":[{"id":18956,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/are-hk-developers-being-too-generous-with-mortgages\/","url_meta":{"origin":18134,"position":0},"title":"Are HK developers being too generous with mortgages?","date":"July 7, 2016","format":false,"excerpt":"\r Buyers are being tempted by 120 percent mortgages Another day, another dollar. Image credit: Krystal T (Flickr) Non-banking lenders are getting a tad too generous. 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Robertson Blue Condominium along Singapore River. Image credit: commons.wikimedia Wealthy Indonesians have long had an interest in collecting real estate in neighboring Singapore. In 2014, Indonesia accounted for 24 percent of Singapore\u2019s property purchases, and while foreign investments in general slowed\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":122140,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/bank-of-china-dangles-cash-reward-for-going-green-with-mortgages-for-sustainable-housing\/","url_meta":{"origin":18134,"position":4},"title":"Bank of China dangles cash reward for going green with mortgages for sustainable housing","date":"September 22, 2021","format":false,"excerpt":"\r Bank of China (Hong Kong), the largest provider of financing for completed homes in the city, is teaming up with developers to offer cash rewards to mortgage applicants in residential developments with \u201cgreen credentials.\u201dThe local unit of China\u2019s third-largest banking group has lined up several projects from 10 developers\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":123790,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/bank-of-england-plans-to-remove-interest-rate-rule-for-mortgages\/","url_meta":{"origin":18134,"position":5},"title":"Bank of England plans to remove interest rate rule for mortgages","date":"December 14, 2021","format":false,"excerpt":"\r Bank wants to scrap rule that borrowers must be able to afford rate rise of three percentage pointsThe Bank of England has announced plans to ease mortgage lending rules in a move that could help thousands of first-time buyers get on to the property ladder.The central bank said it\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]}],"_links":{"self":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/18134"}],"collection":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/comments?post=18134"}],"version-history":[{"count":0,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/posts\/18134\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/media?parent=18134"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/categories?post=18134"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.siamlandbank.com\/propertynews\/wp-json\/wp\/v2\/tags?post=18134"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}