“Natural thing would be to start to establish a soil at these levels, Since we believe that travel down is every day more limited”
The Euribor coming: will change the calculation formula
Monthly evolution of the main mortgage indexes
The Euribor, index to which the majority of Spanish mortgages are referenced, It has marked in April a new minimum historical and closed the month in the -0,119%, What cheaper mortgages in a few 70 euros per year.
At daily rate, the index stood at the -0,121%, faced with the -0,109% that closed the 31 March. The index has extended its bearish path during the fourth month of 2017, because it started the month in -0,111%.
Of this mode, mortgages of 120.000 euros to 20 years and with a Euribor differential +1% that touch review will have a rebate of some 5,8 euros to the month the, What is the same, a few 70 euros per year.
XTB Carlos Fernández analyst has highlighted that although that falls which records are of minor, “the downtrend is still intact”.
Despite the fact that Fernandez can determine when the trend will revert it and the Euribor will start to pick up, It predicts that change “will not be immediate”.
Uncertain future
“Natural thing would be to start to establish a soil at these levels, Since we believe that travel down is every day more limited”, pointed out Fernandez, who says that from there begin to see the first increases. However, do not trust that the Euribor can close the exercise 2018 in positive.
In this sense, It said should bear in mind that inflation for the euro zone expectations “They offer arguments to the European Central Bank to complete its progressive withdrawal of stimuli”, that it has already started with the suspension of the auctions of liquidity to the banking (TLTRO).
For all these reasons, This analyst understands that a measure that progress towards the Monetary normalization, ”the rise in interest rates seems closest, and may occur in the first quarter of 2018″.
Fernandez recalled that banks, being aware of this situation, have been advanced to this stage and they have become more expensive the interest rate offered by their fixed mortgage.
on the other hand, Remember that as economic growth figures will confirm, banks can increase its credit facility. ”If you increase the volume of loans granted, It is likely that the interbank loan rate also”, points.