The 12-month EURIBOR (official mortgage market reference rate) falls to 2.506 in November
The 12-month EURIBOR, the official reference rate for mortgages in the euro zone, fell to 2.506% in November, its lowest level since December 2016. This represents a significant decrease from the 2.629% recorded in October.
The decline in the EURIBOR is likely due to a combination of factors, including the European Central Bank’s (ECB) decision to keep interest rates unchanged at 0.00%. The ECB has also announced that it will continue to purchase bonds until at least March 2024, which is helping to keep long-term interest rates low.
The fall in the EURIBOR is good news for mortgage borrowers, as it means that their monthly repayments will be lower. For example, a borrower with a €100,000 mortgage over 25 years would see their monthly repayments fall by around €20.
However, it is important to note that the EURIBOR is a variable rate, which means that it can rise as well as fall. Therefore, borrowers should be prepared for their monthly repayments to increase in the future.
What is the EURIBOR?
The EURIBOR (Euro Interbank Offered Rate) is a reference rate that is used to calculate the interest rates on a variety of financial products, including mortgages, bonds, and loans. It is calculated based on the average interest rate that a group of banks charge each other for short-term loans.
Why is the EURIBOR important?
The EURIBOR is important because it is the reference rate for the majority of mortgages in the euro zone. This means that changes in the EURIBOR can have a significant impact on the monthly repayments of millions of people.
What is the outlook for the EURIBOR?
The outlook for the EURIBOR is uncertain. The ECB has indicated that it is likely to keep interest rates unchanged for the foreseeable future. However, there are a number of factors that could lead to an increase in the EURIBOR, including rising inflation and a strengthening of the euro.
Borrowers should therefore be prepared for the possibility that their monthly mortgage repayments could increase in the future.
The 12-month EURIBOR (official mortgage market reference rate) falls to 2.506 in November
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Bacno de España – News and events a new article on 2024-12-02 14:00 titled “The 12-month EURIBOR (official mortgage market reference rate) falls to 2.506 in November”. Please write a detailed article on this news item, including any relevant information. Answers should be in English.
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