Real estate: slump weighs on financial service provider Hypoport

Dusseldorf The fall in demand for real estate as a result of higher interest rates and economic risks led to a business slump at the financial service provider Hypoport. After growth in the first half of the year, the operating figures in the financing business models show a significant decline in the third quarter, as the company announced on Monday.

The transaction volume on Hypoport’s Europace credit platform, one of the major platforms for financing brokers alongside the competition from Interhyp, fell by almost a fifth to EUR 20 billion in the third quarter. The business for the savings banks brokered via the platform declined particularly sharply. From July to September, the transaction volume collapsed by 23 percent.

Last week, Sparkasse President Helmut Schleweis reported on the decline in an interview with the Handelsblatt. In the first half of the year, demand for real estate loans was still high.

“However, this was also due to the fact that many projects were already on the way in terms of planning and finances,” said Schleweis. “In the past few weeks, the picture has changed abruptly.”