Euribor expected to drop to 3.2% in October 2026
The primary mortgage indicator falls as the ECB balances high inflation and oil prices ahead of a potential December interest rate hike.
Euribor expected to drop to 3.2% in October 2026 · Feijóo to back Hernández de Cos for ECB presidency · Spanish home sales drop 5.1% in July 2026
The primary mortgage indicator falls as the ECB balances high inflation and oil prices ahead of a potential December interest rate hike.
PP leader Alberto Núñez Feijóo will endorse the former Bank of Spain governor for the top European Central Bank role at a Brussels summit.
Spain recorded 61,417 property transactions in July as rising interest rates cooled the market, marking a 5.1% year-on-year decline.
Inflation reached a three-year high in August as rising crude oil costs prompted the ECB to hike rates and the government to cut fuel duty.
Rising interest rates and a 12% surge in Spanish house prices have increased annual mortgage repayments by over 1,000 euros for owners.
The European Central Bank is set to increase rates by 25 basis points in September as global sovereign bond yields reach 2008 levels.
Driven by a 14.3% surge in energy costs, Eurozone inflation reached 3.3% in August, remaining significantly above the ECB's 2% target.
The Euribor monthly average rose to 2.95% in August, increasing mortgage costs for homeowners as the rate nears the 3% threshold.