Monday, October 15, 2007

Secondary Mortgage Market in Mexico

Last week I explained in a post that the main reason that interest rates are higher for home purchases in Mexico was because mortgages in Mexico are a fairly new product and the second mortgage market has not been fully developed.

In October, HSBC became the first non-government issuer to sell mortgage backed bonds in Mexico to the tune of 3.5 billion pesos ($321 million USD). This is a huge development in Mexico's mortgage market and other banks are sure to follow suit.

To read more about HSBC and the secondary mortgage market:
HSBC article

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