Fixed rate mortgages mortgages only represent a minority at around 7% of spanish mortgages contracted in 2015 but more and more banks are offering it at very attractive conditions.
In 2014, only 4 spanish banks were offering an now around 10 banks provide this type of mortgage at very attractive interest rates. Furthermore, conditions have been enanced compared to 2014 mainly a lower fixed interest rate where long term interest rates are currently very low in financial markets.
At this end of September 2015, the cheapest fixed rate mortgage is presently offered by Bankinter which offers 1.95% for a 10 year mortgage, then Bankoa (Grupo Credit Agicole) a fixed rate at 2.5% for 20 years, Kutxabank 2.5% for 30 years. Last year the cheapest fixed rate was at 3.75%!
The major advantage to using a fixed rate mortgage is that you will set from now what will be your monthly mortgage payment a big advantage in this very volatile environment in financial markets…