Spain’s mortgage payments are up €100 a month: how to claw some of it back
Homeowners with variable-rate mortgages in Spain are facing payments around €100 a month higher than a year ago, yet the […]
Spanish homeowners with variable-rate mortgages are facing payments around €100 higher per month than a year ago, but a consumer group OCU says negotiating a better rate with their bank could save them thousands of euros. The cause is the rise in the 12-month Euribor, which averaged 3.24 percent in October, up from 2.19 percent a year earlier.
This translates to a higher monthly payment of roughly €100, or €1,206 annually. OCU suggests homeowners should ask their bank for a better rate, specifically knocking 0.25 percentage points off the spread, which could save over €2,700 over the remaining term. If the bank refuses, borrowers can transfer the mortgage to another lender through subrogation, or simply sign a new loan without incurring significant additional costs.
OCU also recommends considering fixed-rate mortgages, which could save up to €60 a month, although this depends on the assumption that interest rates remain stable.
Written by urgent.news from Euro Weekly News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
