The real estate market in Spain is experiencing extraordinary moments. So much so that a record has been broken in the average interest rate of loans for home purchase to reach an all-time low.<\/p>\n
According to data extracted from the National Statistics Institute (INE), it has fallen from a rate of 5.4% in January 2009 to more than half: 2.56% in July 2019<\/strong>.<\/p>\n One of the main reasons for this progressive reduction in the last ten years is “the mortgage war being waged by the banks,” in the words of Ana P. Larcos<\/strong>, an economics journalist and editor at Idealista News.<\/strong><\/p>\n The European Central Bank, Larcos says, is driving economic recovery and inflation in the Eurozone. A macroeconomic factor that, together with the lowering of the Euribor rate (also at historic lows), is helping to lower the average mortgage interest rate in Spain.<\/p>\n The trend in Spain has remained stable over the last year, always moving below 2.7%<\/strong>.<\/p>\n The financial sector is also evolving. If 10 years ago the majority of mortgage contracts were made using a variable rate (almost always linked to Euribor), today the situation is different<\/strong>.<\/p>\n In fact, it is now possible to achieve fixed interest rates of less than 2% on mortgages<\/strong> with terms of 30 years. In other words, a figure below the Euribor historical average.<\/p>\n With regard to variable mortgages, still the most common, the interest rate has stabilised at 0.75%.<\/p>\n {snippet compra-en}<\/p>\n Jos\u00e9 Luis Mart\u00ednez Campuzano<\/strong>, spokesman for the Spanish Banking Association (AEB), is confident that this outlook will continue along these lines in the future.<\/p>\n In statements granted to Idealista, the economist stresses that these “financing conditions” will continue to be “very favorable”<\/strong> thanks to the “high efficiency and competitiveness” of banks.<\/p>\n Bearing in mind the exceptional nature of the moment, it may be a good idea to think about investing in the purchase of a home in Ibiza<\/a>.<\/p>\n The multidisciplinary team of Ibiza Country Villas can advise you if you are thinking of buying or selling a property in Ibiza.<\/p>\n If you are looking for a real estate agency that deals with you in a professional, personalised and honest manner, do not hesitate to contact us<\/a>.<\/p>\n We look forward to seeing you at our office on the Paseo Mar\u00edtimo in Ibiza (how to arrive<\/a>).<\/p>\nReasons for the decline in the average interest rate<\/h3>\n
More fixed-rate mortgages offered<\/h3>\n
“Advantageous terms for customers.”<\/h3>\n
Real estate advice in Ibiza<\/h3>\n