The rise in interest rates driven by central banks has triggered the cost of mortgage loans. The movement of bank regulators to deal with inflation mainly affects mortgage variables. In this scenario, the lucky ones are those who, with the low rates, managed to close a mortgage with a fixed interest rate.
The registered increase affects those mortgaged with variable interest rates. The most common reference index is the 12-month Euribor, which is calculated from the average interest rate at which European banks lend money to each other. The average for the month of April stood at 3.757% from 3.647% the previous month, according to data from the Bank of Spain. Along with the Euribor, a percentage called the differential is fixed.
For some variable mortgages, the banks funded an initial fixed rate. It is a mixed mortgage, which mixes a fixed rate during the fixed term and, once that term expires, the variable interest subject to a reference index is applied. Specifically, in mortgages that include this practice in the contract, during the fixed period, the interest rate is not referenced, for example, to the Euribor, but a fixed nominal interest rate (TIN) is applied.
Mortgages above 2%
This trend is noticeable in the cheapest mortgages. For example, the Intelligent Variable Mortgage offered by EVO Banco already has a fixed output interest rate of 2.2%, compared to the 0.99% previously set. In addition, he has observed the term of this fixed output interest from one to two years. Once the term has elapsed, the applicable rate is Euribor plus a differential of 0.48% -the previous one was 0.5%-.
Another example is the variable mortgage offered by Kutxabank. The output fixed interest has secured from 2.33% to 2.55%. In his case, it is twelve months and, afterwards, the interest on the mortgage will be set according to the Euribor plus a differential of 0.49%.
In the case of Unicaja, the fixed exit interest rate has been raised in three variable mortgages: for payrolls of more than 2,500 euros, for payrolls of less than 2,500 euros and the youth mortgage. The first has the lowest fixed output rate (1.49%), but it has increased from the previous 0.99%.
For its part, a fixed starting rate of 1.79% is applied to the mortgage for payrolls of less than 2,500 euros and the young woman during the first twelve and six months of the contract, respectively. The increase has been greater for the youth mortgage, which has gone from a fixed starting rate of 1.20% to 1.79%. The second part of 1.25%.