Real Mortgage Numbers: What’s Changed in Interest Rates

Supporting interest rates meant that in 2021 there was significant growth in demand MortgagesIt is a small sign of economic recovery also favored by the measures taken by the government to quell the negative effects of the Covid-19 pandemic. Although there have been rumors of an imminent rate hike, experts predict that the long positive wave on mortgages may also continue throughout 2022.

Rates have risen by half a point since last January

The increase, albeit slight, in interest ratesHowever, it has already been at the end of the year. The annual percentage rate of shipment (Taeg) increased from 1.74% in September to 1.79% in December. Compared to the beginning of 2021, it has increased by half a point. Last January it was set at 1.27%. In any case, we are always on reasonable numbers, especially if we take into account the fact that interest rates in 2011 were 4.5%. Then the slow decline began, first to 3% in 2014 and then to 2% in 2018.

Number of Mortgages Opened in 2021

We said that in 2021, with particularly favorable prices available,revenue agency It has registered more than half a million homes approved for financing, specifically 513,481 properties. The agency’s report divided the number by region. 313,132 homes (equivalent to 61%) are located in the north, 109,629 in the center (21%), 90,601 in the south (18%). The total value of mortgages is about 400 billion euros, compared to previous years (390 billion at the end of 2020 and 381 billion at the end of 2019).

The importance of perks

The important result obtained in 2021 is also the result of government incentives, such as subsidized mortgages for those under the age of 36. Measures of this kind have made it possible to give a new impetus to the purchase and sale of real estate. The Revenue Authority also announced that in the third quarter of 2021 there was an increase in trade by 22% compared to the same quarter of 2020, with a total of more than 172 thousand transactions. Fear that this boom could be a brake on growthEuropean inflation, a fact that could affect the rise in interest rates.