Euribor Surpasses 3% Threshold: What it Means for Variable Mortgage Holders

The Euribor has surpassed 3% in daily rate for the first time since September 2024, reaching 3.003% this Friday.

This increase threatens to raise payments of variable mortgages reviewed in September, with a typical mortgage paying approximately 76 euros more per month, equivalent to an additional 911 euros per year.

However, it's essential to note that the actual payment will depend on various factors such as the outstanding capital, remaining term, and differential signed with the bank.

The Euribor is a market indicator that reflects expectations about future interest rates, and its rise may not be directly tied to the European Central Bank's decisions.

Homeowners can review their mortgage deed to determine which month is used for updates and what the contracted spread is. They should also consider seeking a written simulation from their bank or exploring options such as novation, subrogation, or switching to a fixed or mixed rate.