Mortgages In Spain: 140,000 Euros At 24 Years, At 2.5%

Spanish mortgages market

According to data from the National Statistics Institute (INE), the number of mortgages taken out on homes increased by 32.1% in April at a year-on-year rate, to 31,909. Of this figure, 58.5% were taken out at a fixed rate, representing an all-time high. However, it should be noted the comparison is based on a month which last year was affected by the state of alarm, with non-essential activity suspended.

For its part, the average amount of mortgages taken out on homes grew 11.4% year-on-year in April, to 139,464 euros, the highest figure since the start of the health crisis.

In addition, the capital loaned grew by 47.2% in the month under review, to 4.45 billion euros.

Compared with March, the number of mortgages on homes fell by 13.5%, the largest decline in this month since 2017. Capital loaned fell by 12.4%, compared with a decline of 13.8% in the same month in 2020.

Lastly, it should be noted that in April the average interest rate for all mortgage loans stood at 2.45%, with an average term of 23 years. In the case of housing, the average interest rate was also 2.53%, compared with 2.46% a year earlier, with an average term of 24 years.

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The Corner
The Corner has a team of on-the-ground reporters in capital cities ranging from New York to Beijing. Their stories are edited by the teams at the Spanish magazine Consejeros (for members of companies’ boards of directors) and at the stock market news site Consenso Del Mercado (market consensus). They have worked in economics and communication for over 25 years.