Mortgages, the party is over. Higher costs for fixed and variable rates. Youth offers disappear


Bank of Italy Foresaw: Mortgages have become More expensive. After a slight descent, in fact, a February Rates returned to August levels. The amount of Taeg which represents the total cost of the loan has increased 1.85% vs. 1.78% in January. And it is especially young people who are paying the price. As indicated in the Observatorybanks have not only increased the premiums (spreads) they apply to fixed and variable rates, but they also remain Suspension of offers for those under 36 In the context of First Home Guarantee Fund. In effect since 2015, the program It was Consolidated by a bis Sosteni decree of May 2021which went from 50% to 80% The part of the loan covered by the State for young people with Show Less than 40 thousand euros.

The fund was then refinanced under the finance law with 242 million euros And the deadline for applying for a mortgage has been pushed back to December 31, 2022. Although it has seen great success recently, thanks to The uncertainty hanging over the economy, The first reward inn encounters some difficulties. The main problem is that the rate offered by the bank Cannot exceed anti-wear Fixed every three months by the Bank of Italy until June 30th, 1.99% for fixed mortgages and 2.27% for variable. In the current situation, with inflation at 6.5% and the imminent increase in the cost of money by the European Central Bank, credit institutions risk losing. Credit Agricole and Avira From the Credem group, for example, is no longer attributed Fixed rate mortgagesGuaranteed by Consap for loans above 80% of the value of the property. An option also followed by other banks. Unicredit and Bear Suspension of payments for new youth fixed-rate mortgages with Consap Garantie, while Bpm bank I did this for variables as well. On the other hand, Silla Bank still grants loans to people under 36 for the purchase of their first home, but only for amounts not exceeding 70% of the value. The only exception is a work. In fact, the Dutch Institute has extended the offer of the mortgage to amounts covering 95% of the price of the house.

In short, there is ongoing credit stress that mainly affects young people but also affects other borrowers. During this month Joris at 20 years oldThe benchmark Fixed Income Mortgage Index came in at 1.47%, up 0.38%. And it continues to rise: on April 20, it reached 1.65% while in December 2020, its lowest level ever recorded, it was 0.01%. Although still in negative territory, Also EuriborOn which the loans are based with variable interest rates are rising. April’s average is -0.45%, a jump of 0.04% from the previous month, while in December last year it was still at -0.58%. But then it is necessary to increase the two indicators Add spreads applied by banksturn fast growing.

Still according to Osservatorio, Crédit Agricole increased it by 0.27% for fixed rates and 0.16% for variable rates, NLP 0.25% and 0.05%, respectively, and Banco di Sardinia by 0.15% and 0.05%. Intesa San Paolo, Instead, it only adjusted spreads for fixed premiums, which went from 0.10 to 0.40%. to jump Credim who reduced them by 0.58% To obtain loans for an amount between 70 and 80% of the value of the property. It is mainly young people up to the age of 35 who apply for a mortgage – and their questions are that 48% of total While the purchase is the objective pursued by 84% of borrowers. With regard to income, a Borrowing to buy a house mainly concerns those who earn between 1500 and 2000 euros (30%) and 36% of loans range from 100 thousand to 150 thousand euros.


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