Result

2023

FI extends the risk weight floor for Swedish mortgage exposures

2023-12-14 | Mortgage EBA News

FI has decided to extend the risk weight floor by two years, from 31 December 2023 to 30 December 2025.

FI notifies the EU regarding extension of the existing risk weight floor for Swedish mortgages

FI notifies the EU regarding extension of the existing risk weight floor for Swedish mortgages

2021

FI extends the risk weight floor for Swedish mortgage exposures

FI has decided to extend the risk weight floor by two years, from 31 December 2021 to 30 December 2023.

FI notifies the EU regarding extension of the existing risk weight floor for Swedish Mortgages

Finansinspektionen has notified the Commission and the European Systemic Risk Board (ESRB) that it intends to adopt a decision to extend the current risk weight floor for Swedish Mortgages for a period of two years, in accordance with Article 458 of the CRR.

FI extends the risk weight floor for Swedish mortgage exposures

FI has decided to extend the risk weight floor by one year, from 30 December 2020 to 30 December 2021.

2020

FI notifies the EU regarding extension of the existing risk weight floor for Swedish Mortgages

Finansinspektionen has notified the EU Parliament, the Council, the Commission, the European Systemic Risk Board (ESRB) and the European Banking Authority (EBA) that it intends to adopt a decision to extend the current risk weight floor for Swedish Mortgages for a period of one year, in accordance with Article 458 of the CRR.

2019

FI’s View on Preconditions for Mortgage-Based Business Activities

In Sweden, the traditional bank-based financing model for issuing and financing mortgages is currently being supplemented by models where mortgages are being financed in new ways, e.g. alternative investment funds (AIF).

2018

Changed method for the application of the risk weight floor for Swedish mortgages

2018-08-23 | ESRB Mortgage EBA

FI’s Board of Directors decides to change the method used to apply the current risk weight floor for Swedish mortgages through Pillar 2 by replacing it with a corresponding requirement under Article 458 of the Capital Requirements Regulation. The change will enter into force on 31 December 2018.

European Commission’s decision regarding the risk weight floor for Swedish mortgages

2018-08-14 | ESRB Mortgage EBA

The European Commission has decided not to propose to the European Council a rejection of Finansinspektionen’s proposal to change the method for the application of the current risk weight floor for Swedish mortgages. This means that the measure may be implemented in Sweden.

Preconditions for newcomers to the mortgage market

Sweden’s traditional bank-based model for granting and financing mortgage loans is challenged by new firms with alternative financing models.

EU notification regarding changed method for the application of the risk weight floor for Swedish mortgages

2018-05-25 | ESRB Mortgage EBA

Finansinspektionen has notified the European Parliament, the EU Council, the European Commission, the ESRB and EBA on the intended measure to change the method for the application of the risk weight floor for Swedish mortgages under Article 458 of the CRR.

2015

Driving forces behind household indebtedness

In this report, Finansinspektionen, Sveriges Riksbank and the Swedish National Debt Office present a general description of the driving forces behind the rise in household indebtedness. A central conclusion in the report is that indebtedness is largely linked to developments on the housing market.

2014

Finansinspektionen’s view on the amortisation requirement

Household debt does not represent a risk to financial stability, but it does increase the macroeconomic risks. If designed to be flexible, an amortisation requirement could reduce these risks.

Amortisation by mortgage holders increased since the introduction of individual amortisation plans

New mortgage holders are more likely to amortise after the banks introduced individually tailored amortisation plans as of 1 July 2014. The ongoing debate in the media about amortisation and that the Swedish Bankers’ Association has tightened its recommendations regarding amortisation may also have contributed to the increase in amortisation payments.

Stability risks associated with household indebtedness

FI makes the assessment that the risks associated with household debt have not yet reached alarming levels. However, there are also macroeconomic risks associated with rising household indebtedness.

Measures to counteract household indebtedness – amortisation requirement

FI makes the assessment that an amortisation requirement that is applied in a flexible manner will strengthen in the long run household resilience to shocks. An amortisation requirement will keep house prices down and slow the rate at which debt is growing, and higher amortisation payments will help households reduce their debts and thus their interest expenses.

2013

Decision to implement a risk weight floor for mortgages

FI is implementing a risk weight floor of 15 per cent for Swedish mortgages. The floor will be implemented as a supervisory measure within Pillar 2.