Fixed mortgages are half a point more expensive and variables are down 0.2 points since June, according to iAhorro

The mixed mortgage begins to resurface as an alternative

MADRID, 13 Oct. (EUROPA PRESS) -

The average interest rates of fixed mortgages have increased by 0.54 percentage points and those of variables have fallen by 0.17 percentage points in the last four months, according to the iAhorro index, which analyzes the evolution of the Spanish mortgage market between June and September.

Banks have implemented changes in their offer of mortgage products in the last four months and, especially, since the European Central Bank (ECB) raised interest rates for the first time in July.

According to iAhorro, with the recent changes, the bank seeks to make the variable mortgage "a more attractive product for future mortgage holders", to the detriment of the fixed mortgage.

The data from the mortgage comparator reflects that, although the average of the fixed rates registered between January and May 2022 stood at a nominal interest rate (TIN) of 1.18%, between June and September it rose to 1.72 %, reflecting a rise of 0.54 percentage points. The highest monthly average data was recorded in August (1.85%), while in September it fell slightly (1.78%).

In contrast to this increase in fixed rates, variable rate mortgages recorded an average interest of 0.99% between January and May and 0.82% between June and September, which is equivalent to a drop of 0.17 points percentage. The lowest average monthly data was recorded in July (0.59%), while in September it increased to 1.05%.

The CEO of iAhorro, Marcel Beyer, has highlighted that the fixed rates that have been observed in recent years, especially in 2021, have been the lowest in historical series. "But that is already a thing of the past. As of May, we began to notice significant changes in the offers of the banks and we already found quite a few offers above 3% NIR, which in APR supposes one more point, approximately", has explained the expert, who in any case points out that the current data "are within normality".

In this sense, Beyer considers that a fixed-rate mortgage is good if its TIN is below 2% and affirms that there are still entities that are giving mortgages at these levels. According to data from the mortgage comparator, the best fixed mortgage granted in September 2022 stood at 1.05%. "When the client's profile is very good and the bank wants it yes or yes, it will offer them something very competitive", she assured.

For this reason, from iAhorro they maintain that, by comparing all the offers on the market, "much lower" interest rates can be obtained.

Although the majority of users continue to opt for a fixed mortgage, variable mortgages are gaining ground again. According to iAhorro data, only 4.9% of comparator users opted for a variable mortgage in June, while the percentage rose to 13.11% in July and 18.28% in August, although in September fell again to 8.22%.

In the current scenario, some entities such as Openbank, ING, Banco Santander, Bankinter, Evo Banco or mortgages.com have once again marketed mixed mortgages. In September, 6.85% of iAhorro users signed a mortgage at a mixed interest rate.

The demand for this product has increased in view of the fact that the fixed mortgage has rapidly raised its interest rate and that the variable "does not give customers confidence" due to the Euribor trend, they explain in iAhorro.

"But the Spanish, very conservative when it comes to investing their money, are not assessing as it deserves that the mixed mortgage is now much more competitive and could help them save significant money on interest", pointed out the CEO of iAhorro, who predicts that in the coming months the market will lean towards a mixed mortgage rather than a variable one.