“In 2017 the mortgage concession will be moderated due to the floor clauses”

“In 2017 the mortgage concession will be moderated due to the floor clauses”

Posted by on Mar 5, 2017 in News

  • Mortgages-fotocasa-2

 

The Mortgage Statistics data published today by the INE show an increase in the 14% mortgage concession during 2016, which is the third consecutive year of growth in financing.

According to Beatriz Toribio, responsible for Studies at fotocasa , “consolidation of mortgage financing has been one of the most important keys to the good moment in the sector”, since “during 2016 we have witnessed a ‘mortgage war’ that has Put on the market a wide offer of mortgage loans and new forms of financing such as mortgages at fixed rates, which were practically non-existent in our country and now account for almost a third of the loans that are signed “

Toribio believes that the mortgage financing context “will remain positive in 2017, but more moderate.” “With the eurobond at record lows, the banks’ interest in going back to the mortgage business and the ECB’s intention not to raise short-term interest rates, 2017 may be a good year to sign a mortgage. But it will be difficult to find the attractive offers we have seen so far. “

Proof of this is that with the beginning of the year a good number of banks have increased their mortgage products, both at variable and fixed rates. “The latest court rulings on land clauses and mortgage costs will be transferred to mortgages, the question is how far and how”, adds Beatriz Toribio. “An increase and above all a reduction of mortgage financing would have an immediate effect on the real estate market, at a key moment for its recovery.”