2024-01-02 08:34:14
On December 18, the then Minister of Economy Nadia Calviño announced the extension of aid to mortgage holders until 2024. What stands out among them is the continuity of the free change from variable to fixed mortgages, to which is also added the possibility of doing so with mixed mortgages. This measure had been taken in response to the sharp rise in the Euribor, and therefore in variable installments, in recent years.
Fixed or variable
The The drop in interest rates has mitigated the rise in the Euribor, but it will still take some time until it is significantly noticeable in the installments.. However, despite the fact that numerous experts predict a stabilization of this mortgage indicator, Fixed rate mortgage loans continue to offer much lower risk. Mainly if you take into account the long nature of the debts contracted with a variable mortgage, during which the economy can experience numerous ups and downs.
This is because fixed mortgages offer a single payment installment throughout the entire repayment of the loan, unlike the variables in which The amount of the fee changes depending on the level at which the Euribor is placed. Sometimes variable or mixed mortgages can end up being cheaper than fixed mortgages, but always depending on the behavior of the Euribor.
Factors to take into account
In order to identify which is the best option when contracting a fixed mortgage, it is advisable to take several factors into account. Kelisto highlights three main variables. The first are the amortization terms: Loans with a longer repayment period will always have more affordable installments. The second are the products or services that are linked to the mortgage: Many banks offer better loan conditions if other added services such as home or life insurance are contracted. The third thing to consider would be one’s own person’s risk tolerance who is going to take out the mortgage, since fixed mortgage loans offer much greater security, allowing the specific calculation of the real cost that the operation will have, something that can only be approximated in variable and mixed mortgages.
The best fixed mortgages
The The best offer is the Bonus Fixed Mortgage from Banco Santander that offers a NIR (Nominal Interest Rate) of 2.8% and a maximum payment term of 30 years. However, the offer is accompanied by a series of linked requirements such as direct deposit of payroll, taking out home insurance or having a minimum income of 600 euros, among others. As The second best option is the BBVA fixed mortgage which only requires three linked products with a TIN of 3% and a maximum payment term of 25 years. In third place is the Openbank Fixed Open Mortgage that offers an interest of 3,07% and also requires three linked services.
For its part, Rastreator highlights Caixabank’s fixed mortgage as the best offer of the month which requires home and domiciliary payroll insurance and contains 3% of the TIN and a minimum monthly payment of 711 euros. He APR on this mortgage loan is 3.04%. The APR or Annual Equivalent Rate is calculated taking into account the interest offered by the loan (TIN), the commissions, the repayment period and the amount you want to request. Thus the APR of the Banco Santander mortgage would be 3.39%; BBVA’s 3.73%; and that of Openbank, 3.63%.
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