En que afecta a nuestras hipotecas la subida del euríbor

How does the rise in the Euribor influence mortgages?

The reference rate in factor contracts in Spain begins to rise after three negative years.

The Euribor begins to rise after three years in negative .

Euribor, the benchmark rate for most factor rate contracts, remained at - 0.008% in February 2016, unprecedented for a negative estimate, a rare event.

In any case, after three years, it is finally anticipated that in 2019 it will increase again.

That plunge into the red has a clarification.

The European Central Bank (ECB) at the time cut borrowing costs to invigorate the mainland's economy after long periods of monetary emergency, in a notable move that spanned the long term.

In fact, it is normal that these loan costs do not increase until after mid-2019.

One of the negative results of the Euribor has been the reduction in the offers of those sold whose credit is referenced to this estimate .

This has been the advance that, in the middle of the last 10 years, has had the interests of an invented mortgage loan to which a differential of 1.00% has been added over the Euribor , whose update is completed with the estimate that denotes the reference rate in February.

With regard to shares, this would have been the advance, in the middle of this time, if the advance referred to was 150,000 euros and the repayment term, 25 years.

This implies that in 10 years the standards have turned out to be less expensive, taking the model's mortgage loan as a premise, around 356 euros for each year.

In the case that in 2008 they were around 908 euros per month, in 2018 they were 552.

Each year, this represents a saving of 4,272 euros.

Be that as it may, despite remaining negative, the Euribor began to continue its growth in the middle of 2018: it started the year at - 0.189% (January estimate) to end at - 0.129% (December estimate).

It started in 2019 at - 0.116% and closed February at - 0.108%, according to information from the Bank of Spain.

How will Euribor-related contracts continue to develop?

In the medium term, everything is focused on the way in which the benchmark rate in general will increase.

It is conceivable that this 2019 will still remain in the red while it will climb positions until it is positive again.

Source: levante-emv.com