Allied Market Research publishes its latest data and forecasts
Leading market research and business-consulting firm Allied Market Research has published a report on the global mortgage lending market, with opportunity analyses and industry forecasts covering 2021 through 2031.
According to the report, the global mortgage lending market generated $11.48 billion in 2021, a number that is expected to reach $27.50 billion by 2031, with a compound annual growth rate (CAGR) of 9.5% from this year to 2031.
Mortgage represented the single largest source of debt for individual homeowners and significantly impacted their financial situation and capacity to bounce back from pay reductions and wage losses. The COVID-19 pandemic had a moderate impact on the industry, forcing some lenders to raise rates as they struggled to keep up with the workload.
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Based on type of mortgage loan, conventional mortgage loans accounted for the highest share of the global mortgage lending market in 2021 – close to 75% of the market. The report expected conventional mortgage loans to maintain market dominance through 2031, while jumbo loans were expected to manifest a higher CAGR of 13.7% during the same period.
Based on mortgage loan terms, the 30-year mortgage held the largest share in 2021, contributing more than 50% of the market. It was expected to hold its market position through 2031, while the 15-year mortgage would witness the largest CAGR of 13.7%.
Based on interest rate, the fixed-rate mortgage loan segment accounted for more than 66% of the market. It was likewise expected to maintain its leading position during the forecast period, with the adjustable-rate mortgage loan segment expected to register the highest CAGR of 11.3%.
Based on provider, the primary mortgage lender segment made up nearly 75% of the market, a position it was likewise expected to maintain, though the report predicted that the highest CAGR (12.1%) would come from secondary mortgage lenders.
Based on region, North America contributed nearly 50% of total market share in 2021. While it was expected to hold on to its leadership status, Asia-Pacific was expected to show the highest CAGR of 13.2% during the forecast period.
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Leading players in the global mortgage lending market, identified by the report, included: Bank of America, Ally Financial, Citigroup, BNP Paribas Fortis, JPMorgan Chase & Co., Fannie Mae, PT Bank Central Asia, Mr. Cooper Group, Royal Bank of Canada, QNB, Social Finance, Rocket Mortgage, Truist, Standard Chartered, Wells Fargo, and ClearCapital.com. Allied Market Research found that by adopting various strategies such as expansion, new product launches, and partnerships, these players increased their market penetration and fortified their position in the industry.
