The amount of signed mortgages continues to rise - La Provincia

The number of mortgages constituted on houses inscribed in the registries of the property was located in 29,287 the past month of July, itshighest figure in this month since 2011and 14.6% higher than in the same month of 2017, as reported by the National Institute of Statistics (INE) on Monday.

With this year-on-year rally, the mortgages on housing firm has four months of positive rates and increases the increase registered in June, which was 3.9%.

The average amount of mortgages on housing grew by 2.1% compared to July 2017, up to125,120 euros, while borrowed capital rose 17% year-on-year, to stand at 3,664.3 million euros.

In monthly rate (July on June), mortgages on houses were reduced by 4.3%, while borrowed capital fell by 3.3%. In both cases it is their smallest cut in this month since 2015.

The communities with the largest number of mortgages constituted on housing in July wereMadrid(5.713),Andalusia(5,382) andCatalonia(5.120).

The highest annual variation rates were in Extremadura (+ 38.9%) and Comunidad Valenciana and La Rioja, both with a rebound of 28.1%. The only year-on-year decreases in home mortgages corresponded to Aragón (-24%), Baleares (-14.2%) and País Vasco (-1.5%).

The average interest rate for mortgage loans on housing reached 2.59% last July, compared to 2.76% in the same month of 2017, with an average term of 24 years.

59.9% of mortgages on housingwas constituted at variable rate, in contrast to the 40.1% that was signed at a fixed rate. The average interest rate at the beginning for mortgages on variable-rate homes stood at 2.36%, compared to 3% for fixed-rate mortgages.

Changes in conditions

Regarding mortgages with registration changes, they added 5,586 in July, 12% less than in the same month of 2017. In homes, the number of mortgages that modify their conditions fell by 2.3%.

Considering the kind of changes in the conditions, in July there were 4,499 novations (or modifications produced with the same financial purpose), with an interannual decrease of 8.2%.

The number of transactions that changed entity (subrogations to the creditor) fell by 33.5%, while the number of mortgages in which the owner of the mortgaged property changed (subrogations to the debtor) increased by 5.6%.

Of the 5,586 mortgages that changed their conditions last July, 40.4% were due to changes in interest rates.

After the change in conditions, the percentage of mortgages at fixed interest went up from 8.7% to 14.3% and that of mortgages at a variable interest rate fell from 90.7% to 85.1%.

HeEuriborit is the type to which the majority of variable rate mortgages are referenced both before the change (78.4%) and after (79%).

After the modification of conditions, the average interest of the loans in mortgages at a fixed rate fell 1.2 points, while that of mortgages at a variable rate fell by 1.1 points.