Economy / Finance.- The Euribor closes February in negative (-0.008%) for the first time in history
The Mortgage Association estimates that the index has yet to sink to -0.5% so that the mortgaged do not pay interest
MADRID, 29 (EUROPA PRESS)
The twelve-month Euribor, the index to which most mortgages in Spain are referenced, has deepened its downward trend by subsequent chaining historical lows at a daily rate and closed the month of February.
In particular, the monthly installment has been set at -0.008%, compared to 0.042% that marked in January. A year ago, Euribor stood at 0.255%.
The index has accumulated 17 daily rate values in negative territory, waiting for the ECB to activate more in the euro zone. Since last February 5, the Euribor is in negative daily rates and has been reduced to -0.024%, its lowest level in history.
Experts consulted by Europe. It could help curb the fall in the benchmark mortgage index.
SAVINGS OF ABOVE 173 EURO ANNULES.
For a mortgage of 120,000 euros to 25 years and with a differential of 1%, which would mean a saving of about 173 euros in the year.
With the exception of the interest rate with the entity, and with the exception of the capital of the debt . which would symbolically translate into the bank.
Speaking to Europa Press, Santos Gonzalez, has estimated that the Euribor would have to maintain its historical decline until it sinks to -0.5% to absorb the average differential in mortgages. If this collapse materializes, which Santos does not see very feasible, the mortgaged would stop paying interest on their loans to acquire their homes.
Since the “mathematically it is difficult”, the president of the AHE has been asked “to encourage” the public debate. Santos has calculated the bulk of the average spreads of mortgages between 0.5% and 1%.
However, the experts will be aware of the profitability of the financial sector. this year. .
In fact, some entities such as Liberbank are finalizing new strategies to stop the hemorrhage caused by the collapse of the Euribor in the income statement. These banks proposed to include a minimum reference rate of 0%.
THE OCU URGES TO COMPLY WITH THE REDUCTION IF THE DIFFERENTIAL EXCEEDS.
In this regard, the OCU has urged banks to comply with mortgage contracts. “Although it is unlikely, the fulfillment of the contracts will be demanded and the actions will be initiated to force the banks to fulfill the said contracts”.
The OCU has recalled the imposition of so-called land clauses, which have been These ceilings have been declared a lack of transparency.