The twelve-month Euribor, the most used indicator to calculate mortgages in Spain, continues with its strongly upward trend, and will close June at around 0.8%which will be its highest rate since August 2012.
Although there are still several sessions to go until the end of the month, the Euribor reaches a provisional rate of 0.806% in June, according to data from Bloomberg.
This supposes a sharp rise compared to May, when the indicator finished at 0.287%, and even more compared to June 2021, when it touched -0.484%.
Variable mortgages, more expensive
As a consequence of this increase, the installments of the variable mortgages that have to be reviewed with this data will become more expensive again.
In the case of an average mortgage of 150,000 euros, for 25 years and an interest rate of Euribor plus 1%, the loan installment will increase by more than 1,400 euros per year.
If the mortgage is 300,000 euros with the same conditions, the fee will become more expensive by more than 2,000 euros per year.
The Euribor has been trading on the rise since the beginning of the year, when the market began to discount the beginning of the change in the monetary policy of the big central banks to fight against inflation.
How does the rise in the Euribor affect the mortgage?
In June, the Euribor rose sharply, although in recent sessions the trend has changed, after the European Central Bank (ECB) was willing to create a tool to curb the rise in risk premiums, triggered after the announcement made by the body on June 9, when he assured that he will raise interest rates in July.
Days after confirming the rise in the price of money at the July meeting, the Euribor exceeded 1% for the first time in almost a decade in daily rate.