Mortgage firms are abandoning fixed interest rate schemes for flexible options that can offer them room to manoeuvre the changing market conditions as runaway inflation and a raging global financial turmoil shifts economic fundamentals in the lending environment.
Analysts said this policy shift coming from the big lenders is the latest signal that Kenya is yet to find a suitable interest rate-fixing mechanism away from the current dependence on public debt instruments.
Fixed mortgage rates were introduced in the Kenyan market four years ago after the benchmark Treasury Bill rate fell below five per cent – the lowest in nearly three decades and the Narc Government assured the market of a stable economic environment on the domestic front. read more
Source:http://www.bdafrica.com/index.php?option=com_content&task=view&id=10695&Itemid=5812
A secured loan is a loan in which the borrower pledges some asset (e.g. a car or property) as collateral for the loan, which then becomes a secured debt owed to the creditor who gives the loan. A mortgage loan is a secured loan in which the collateral is property, such as a home.
Subscribe to:
Post Comments (Atom)
0 comments
Post a Comment