Interest rates down in October, mortgage lending up in August

euribor interest rates spanish mortgage october 2017

Mortgage base rates in the Eurozone dropped to another record low in October 2017, whilst the latest data shows new mortgage lending rising for another month in August.

12-month Euribor – the rate used to calculate the majority of mortgage interest payments in Spain – came in at -0.18 in October, compared to -0.168 in September, a percentage difference of 7.1% (and 143% compared to the same time last year)

As a result, borrowers in Spain with annually resetting Spanish mortgages will see their mortgage payments fall by around €6 per month for a typical €120,000 loan with a 20 year term.

The following chart illustrates how interest rates are currently a long way from normal.

euribor interest rates spanish mortgage october 2017

The latest figures for new residential mortgage lending from the National Institute of Statistics show lending up 29% in August.

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