Bank of Israel data for July showed a continued rise in the number of problem mortgage borrowers, although the overall value of problem loans remains extremely low.
According to the central bank, 40 million shekels worth of problem or overdue loans were refinanced in July, 82% more than in June (the total volume of refinanced loans in July was 4.5 billion shekels). The number of problem loans increased by 20%.
Additionally, nearly half (49.3%) of mortgages originated in July were for at least 60% of the asset’s value – up 2.5 percentage points from June and up 5.3 percentage points from July last year.