Mexico’s BBVA Bancomer To Increase Home Lending By 20% In 2011
MEXICO CITY -(Dow Jones)- Mexico’s largest bank, BBVA Bancomer, said Friday it plans to make mortgage and housing construction loans for 51.3 billion pesos ($4.25 billion) this year, up 20% from 2010 as the economy continues its recovery.
The local unit of Spain’s Banco Bilbao Vizcaya Argentaria (BBVA) said in a press release that the increase involves making 28% more mortgage loans, and financing the construction of 23% more homes than in 2010.
BBVA Bancomer said it expects the most growth this year to be at the middle-income and residential housing level, with 15% growth after more than two years of contraction, while the home financing market overall is expected to grow between 2% and 6%.
The bank said it will continue financing all levels of housing, starting from MXN180,000, and will also pursue its cross-border mortgage programs for Mexicans living abroad, and for U.S., Canadian and European citizens wanting to buy homes in Mexico.
BBVA Bancomer is the leading mortgage lender among Mexican banks. Its home financing portfolio includes 400,000 mortgages for a total of MXN156 billion, and 2,000 bridge loans supporting the construction of 140,000 homes.
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NOTE: BBVA Bancomer operates an office in Tulum, Quintana Roo and operates Bancomer Real Estate Financing through its branches both in Tulum and Playa del Carmen for Mexican nationalas as well as foreign citizens.