KPMG Real Estate Loan Barometer 2023

The KPMG Property Lending Barometer is a survey that has been conducted regularly by KPMG for 14 years and focuses on real estate lending. The survey is based on responses from bank representatives from across the region, collected primarily through online surveys and in-depth interviews.

"Property Lending Barometer" focuses on bank financing of commercial real estate in Central and Eastern Europe.

In 2023, the greatest impact on banks and their commercial real estate financing was the sharp increase in interest rates, as well as the negative economic development of the country in which the bank operates and, to a lesser extent, the economic situation throughout Europe, as well as the lack of attractive properties and investment projects.

However, the bankers interviewed did not see a significant increase in loans with problems, although the number of loans with minor problems increased.

In the long term, Czech and Serbian banks have the lowest percentage of problem loans in their portfolios, while Bulgarian banks have the highest percentage of such loans.

The KPMG Property Lending Barometer shows that bankers surveyed in the CEE region are cautiously optimistic about the future of the real estate market and its financing by banks.

We hope this information will help you make informed real estate financing decisions going forward.