Mortgage lending: further decline in loans granted in April despite interest rates remaining stable

The mortgage market in France recorded a further decline in April 2026. According to data published Wednesday, June 10 by the Bank of France, the amounts of mortgage loans granted to individuals decreased by nearly 4,7% over one month, even though interest rates remained stable.

New mortgage loans fell by 600 million euros in one month

Excluding renegotiations and after adjusting for seasonal variations, the total amount of new home loans granted to individuals reached €12 billion in April. This level remains slightly above the average observed since January, which stands at €11,8 billion, but it nevertheless represents a decrease of €600 million compared to March.

This development confirms the slowdown observed in the real estate financing market, in a context where access to credit remains a determining factor for households wishing to realize a real estate purchase project.

Mortgage rates unchanged at 3,22%

The average interest rate on new mortgage loans granted in April remained stable at 3,22%, the same level as in March. Borrower's insurance costs are added to this rate, and their amount varies depending on factors such as the borrower's age and health.

Despite this stability in rates, demand for real estate financing seems to be slowing down, reflecting the persistent uncertainties weighing on the residential market.

Consumer credit continues its growth

In contrast to mortgage lending, the consumer credit market saw a slight increase in April. The volume of loans granted reached €5,8 billion, compared to €5,7 billion in March and €5,6 billion in February 2025.

The average rate applied to these financings has, however, increased to reach 6,37%, compared to 6,32% in March 2025.

A gradual rise in rates observed by professionals

After several months of stabilization, banks appear to be starting a slight upward trend in interest rates. According to the Crédit Logement/CSA Observatory, after a quarter marked by relative stability, "credit institutions have gradually raised their interest rates."

Thus, in May 2026, the average rate of loans in the competitive sector, excluding insurance and the cost of guarantees, stood at 3,25%, confirming a trend towards a gradual rise in financing conditions.

Illustrative image of the article via Depositphotos.com.