Interest rate on new mortgages reaches five percent

The interest rate on new mortgages rose to 5.0 percent in June from 4.64 percent in May, according to statistics from the Czech Banking Association Hypomonitor. The rate is now at its highest since mid-2010. Banks granted mortgage loans worth CZK 19.3 billion in June, down eight per cent from May. The year-on-year fall accelerated to 65 per cent.