This month of December euribor It closed lower after falling 0.138 percentage points to 4.022%. It is the biggest drop recorded in eleven yearssince August 2012.
In this context, the economist Gonzalo Bernardos revisited space “Better late” from La Sexta to talk about it the near future of variable mortgagesand his answer surprised everyone.
What is Euribor?
It’s him interest rate applied to loans in euros between major banks, and serves as a benchmark for pricing variable mortgages. It has a compound interest rate, made up of a reference index (normally Euribor) plus a differential (percentage) which is always the same. To calculate the new mortgage payment, we generally use the Euribor mortgage published by the Bank of Spain.
What is taken into account to calculate the mortgage payment
These are considered various factors To calculate the new fees:
- Reference index value (Euribor)
- Added differential (fixed percentage)
- Principal of the unpaid loan
- Time remaining to make payments
There The evolution of Euribor will depend on inflation in the euro zone. In other words, if prices continue to moderate as they have done so far, European Central Bank (ECB) will not have to raise rates again or could even lower them.
Gonzalo Bernardos’ prediction
As Bernardos details in La Sexta, “Those who renew their mortgage interest rates in February will pay less for the first time in a long time if the one-year Euribor continues to be below 3.8% as is currently the case”.
According to the famous economist, Mortgage prices could fall as early as February. “The news you are waiting for is about to arrive,” Bernardos announced, then specifying that borrowers’ savings will be “minimal”.