Deductions restructuring and mortgage growth
April 10, 2019
The sector has therefore welcomed the bonus prolongation decided by the Letta government’s stability law. Tax deductions on restructuring have had a powerful positive effect on restructuring loan applications in 2013. This is witnessed by a recent survey conducted by mutui.it in collaboration with facile.it.
Tax deduction restructuring: government measures push mortgage applications
The sector has therefore welcomed the bonus prolongation decided by the Letta government’s stability law. Tax deductions on restructuring have had a powerful positive effect on restructuring loan applications in 2013. This is witnessed by a recent survey conducted by mutui.it in collaboration with facile.it.
While real estate sales and purchases appear to be falling steadily, and with them also mortgage applications for the purchase of a new home, loan applications for restructuring increase: between the months of July and December 2013, they increased for accuracy from 2.6% to 7.6% of the total.
Merit, according to the survey, own tax bonuses for the renovation and purchase of furniture, which push Italians to make improvements and renovate their homes.
The regions in which the increase was most evident are Campania, Tuscany and Trentino Alto Adige: here, the percentage of loan applications for restructuring on total loans reaches over 10%.
Going to see the characteristics of the required funding, we find that the average figure obtained for a mortgage restructuring was 72 thousand euros. The average repayment plan is around 15 years, the rate preferred by applicants is the variable rate (58% of cases) compared to the fixed rate.
The extension of the tax deductions restructuring in the stability law
The stability law has officially decreed the extension of the restructuring and mobile tax deductions for 2014. The bonuses allow citizens to deduct 50% of the expenses related to the works carried out until December 31, 2014, with a ceiling of 96 thousand euros for property.
The deductions will then go to 40% for the entire year 2015, to return to 36% from 2016 onwards (unless further extensions on which the executive is discussing). Recall that the deduction will always be spread over ten years.
