Financial institutions often push Spaniards toward mortgages with mixed or variable rates while fixed-rate loans tend to be offered mainly to a limited group, leaving others with only variable or mixed options. This summary comes from Simone Colombelli, head of iAhorro Mortgage, who describes the findings of a survey conducted by iAhorro’s Mortgage Management team. The survey ran from September 19 to October 19 and gathered insights from more than 1,700 people who either took out a mortgage last year or are considering one in the near term, aimed at understanding real choices in today’s credit market.
According to the survey, 42% of respondents prefer a mixed mortgage, compared with 26.8% who favor a fixed-rate product and 21.5% who still tilt toward variable rates. The surprising part is that the variable option remains appealing even as the Euribor index currently sits near 4.2%. Those who chose variable or mixed loans cited several reasons. The largest share, 37% for variable and 47.8% for mixed, indicated that the bank did not present a more favorable alternative that met their needs. They felt the options were limited and the market did not offer a clear, stronger proposal.
Will Euribor fall soon? Almost 30% of variable rate mortgage holders believe this
When looking at attitudes toward future rate movements, the belief that Euribor will decrease ranks second for variable-rate borrowers, drawing 27% of votes. Among mixed-rate borrowers, this expectation appears much less often at 9.1%. Other common rationales include seeking security with a fixed rate, which resonated with 18.2% of respondents, and choosing what appeared to be the best present offer, at 15.9%. Overall, many Spaniards share a hope that the worst of the financial squeeze has passed and that the broader economy is improving. This optimism may explain why nearly 22% of respondents still choose variable mortgages, even amid a challenging market environment, according to Colombelli.
Colombelli also notes that many people would prefer the steadiness of a fixed mortgage but face two frequent obstacles. First, fixed mortgages currently carry higher interest rates than in early 2022, and in many cases the rates extend beyond three percent in the long term. Second, banks remain selective, often basing decisions on individual customer profiles. This leaves borrowers with two main paths: opt for a variable loan with a very low spread and wait for Euribor to move downward, or opt for a mixed mortgage that provides the security of a fixed-rate component during the initial years.
Only 9% of mortgage holders compare offers
With high rates persisting, finding affordable mortgages and negotiating terms across lenders becomes increasingly essential, yet the survey shows a relatively small share of borrowers actively compare offers. About 9.1% of Spaniards who signed a mortgage last year explored multiple options, with 7.2% using a mortgage comparator and 1.9% relying on a broker. The majority, around 63%, reported signing their mortgage directly with the bank. This tendency reflects a broader pattern of consumer behavior, underscoring the importance of informed decision making when engaging with financial institutions over long-term loan commitments.
Experts emphasize a cautious approach in current conditions. The market favors a careful examination of terms, fees, and projected costs over the life of the loan. When considering a mortgage, it is crucial to weigh the potential savings from negotiating better rates against the risk of committing to a product that may not align with one’s financial trajectory. It is a reminder that careful preparation and comparison can yield meaningful benefits, especially given the long duration and total cost involved in a mortgage agreement.
Ultimately, the tendency toward conservative banking practices persists. Financial institutions adapt to evolving situations, often driven by information gaps and a lack of proactive financial education among borrowers. This reality highlights the opportunity for better guidance, clearer explanations, and more transparent options in mortgage discussions, enabling families to secure loans that fit both their short-term needs and long-term financial health.