Fixed-rate mortgages dominate Spanish housing market

The Spanish mortgage market has seen a decisive shift toward fixed-rate financing. According to data from the mortgage broker Trioteca, approximately 88% of new mortgage contracts formalized in July were fixed-rate, leaving little room for traditional variable-rate mortgages, which have become nearly non-existent in the current climate.

Fixed-rate mortgages saw an average nominal interest rate (TIN) of 2.42%. Mixed-rate mortgages, which offer an initial fixed period followed by a variable component, accounted for roughly 12% of operations, typically featuring an initial rate of 1.89% and a subsequent spread of Euribor plus 0.60%.

Market trends indicate that buyers are prioritizing financial certainty over potential short-term savings. The average age of mortgage signers is 39, suggesting that many buyers are established professionals or families who have spent years saving to afford down payments. The average property value is approximately €300,000, while the average loan amount is around €205,000. The market remains dominated by second-hand homes, which represent over 96% of transactions.