Euribor today continues to move towards its biggest annual decline in 11 years.

pledged They were lucky. After a year of suffering from the constant increase Euribor, A wind of relief will come to the mortgage market this summer. As we have already said, the indicator to which most of the variable mortgage V Spain In July, it began its journey toward its biggest annual drop since 2013.

Almost half a month has passed, but we are still on this path today. Euribor write down year-on-year difference the lowest since June 2013: -0.5605. This data will leave saving more than 1000 euros for many pledged that they are renewing their loan in July of this year, if we compare the average data, which is now 3.5885%, with one of the highest rates in 2023: 4.149%.

Since the meeting is still to be held this month, European Central Bank (ECB) taught the ways of relaxation interest rates a few months ago, and this was noticeable in the Euribor rate, which gradually stopped rising and began to fall.

During his last appointment, a quarter-point cut was the end of a script that had been weeks in the making. They are expected to continue this July, but experts believe there will be new dropsEspecially after it became known that the ECB hawks have approved two additional rate cuts this year.

At the moment, banks operating in the secondary market lend to each other at an average of 3.6% in the case of 12-month Euribor rateThere are still 15 days to go to find out the average for July, which if the trend continues will be about the lowest in a year.

How much will mortgage rates fall in July?

At the moment, anything that reduces EuriborWhile this is small compared to the significant rise last year and ahead of the ECB’s next meeting, it is good news for mortgage holders.

So how much will mortgages fall in July? According to iAhorro, a person who hired his own variable mortgage in the amount of 150,000 euros in July 2023 with a Euribor rate of 4.149% and its commission was 796.43 euros per month with the current review (Euribor is 3.5%), you will pay a monthly fee discounted to 49 euros per month or, in other words, up to 588 euros per year.

If we take the same example, but for a mortgage with an initial amount of 300,000 euros, we see that the discount will be 98 euros per month, 1176 euros per year.

How are things with Euribor today?

Today, the Euribor rate is 3.56%, while the average monthly rate is 3.58%, which is very far from the data it needs to be compared with to see how much more or less mortgage holders will have to pay if they renew their mortgage this month. July: 4.149%.