Loans

Bank of China approves over 100 MNN mortgages

Bank of China, Macau has thus far approved over 100 mortgage applications out of approximately 300 for the locally-financed Macau New Neighbourhood (MNN) realty project on Hengqin.

Around the time of MNN’s sales opening, its developer, Macau Urban Renewal Limited (MUR), affirmed that local banks were supportive of offering a maximum loan-to-value ratio of 90% to aid unit buyers.

Earlier this month, news outlet Macao Daily reported that many buyers decided to make a purchase on the assumption that they would be maximally financed. Many were later told that they would only receive 80% financing, and that only specific groups would receive 90%. In some circumstances, certain purchasers believed they would receive financing of 80% but ultimately were granted 70% due to age-related concerns.

Responding to these claims, Chan Weng Tat, director and vice president of the bank, recently acknowledged that banks had agreed to offer a maximum loan-to-value ratio between 80% and 90% for MNN buyers. However, he emphasized that banks would evaluate the qualifications and repayment capacities of each applicant before deciding on the final mortgage amount. He advised prospective buyers to consider their circumstances, noting the pre-approval evaluation services undertaken by Bank of China. AL

Categories Headlines Macau