He Euribor closed January with a monthly average of 3.332%0.31 points higher than December 2022’s 3.018%. The data is the second largest increase for the month and the sixth largest increase in a single month since 1999. indeed it is Highest level since December 2008, when it stood at 3.45%,
for convertible mortgage This would mean an increase of 250 euros per month on averageWhich means more disbursements of 3,000 euros in 2023.
Due to the French amortization system, by which most of the interest on the loan is paid in the first years of the loan, The impact will be greater on more recent mortgages,
Average mortgages (for a value of 150,000 euros to be paid over 25 years with a margin of 0.99 points) that were signed since 2016face 40% increase in the monthly amount between 216 and 289 eurosexemplified 20 minutes,
Which were off between 2007 and 2015 from 119 Euro to 204 Euro or 20% to 40%.
According to the outlet, while those signed before the bubble in 1999 to 2007 would see an increase from 26 to 119 euros, or between 4% and 20%.
Although Euribor does not exactly follow the European Central Bank’s (ECB) rate path. —which rose again by 0.5% in early February, reaching 3%— for each percentage point increase in interest rates, An average convertible mortgage becomes 1,500 euros more expensive per year,
According to bank sources detailed by the same media, the latest increase could add 750 euros per year (62.50 euros per month) to each of the previously signed mortgages.
Another half-point increase in reference rates is expected in March.