After closing 2017 with a new historical low, the Euribor will continue negative this year after more than 20 consecutive months with this trend. Moreover, according to a survey conducted by Bloomberg on the evolution of the Euribor, among investment banks, it is not foreseen that it will enter positive until, at least, 2019 (in which ...

Euribor will continue negative in 2018

After closing 2017 with a new historical low, the Euribor will continue negative this year after more than 20 consecutive months with this trend.

Moreover, according to a survey conducted by Bloomberg on the evolution of the Euribor, among investment banks, it is not foreseen that it enters positive until, at least, 2019 (in which they estimate that it will be at 0% in the fourth quarter).

This downward behavior is due to monetary policies carried out by central banks in order to revive the economy, but the question that arises now is how long will this context be maintained. In principle the forecast is that the Euribor will continue with negative values ​​during this year .

According to the ECB (European Central Bank), it will not be until 2020 when inflation approaches the 2%, the objective of all central banks, and expects that 1.7% will be reached by then.

The AHE (Spanish Mortgage Association) believes that " According to the behavior of inflation and of the economy in the Eurozone, it is to be expected that the monetary policy promoted by the ECB will reverse the downward trend in rates in the near future and with that start a smooth escalation ".

Regarding mortgages, banks in Spain have reduced the rates on mortgages at a fixed rate in order to sell more this type of loan and those who are paying a variable rate mortgage, have the peace of mind that no abrupt changes are expected in the short term.

However, the evolution of the Euribor also affected a to the profitability of bank deposits. Currently, performance remains stuck at historical lows.

RELATED NEWS

The Euribor closes 2017 with a new historical minimum

Andalusia approves a new Regulation...

The Junta de Andalucía and the Andalusian Consumer Council, with the participation of the Directorate General of Consumer Affairs, presented last January the ANDALUSIAN CODE OF REAL ESTATE QUALITY (CACI). This Andalusian Code arises from the need to protect the lawful interests and safety of consumers and users of real estate services ......

Inbound Real Estate Marketing

Inbound Marketing What is this? The Inbound MK or Inbound Marketing or even Attraction Mk with which it is often named is a new trend in digital marketing. As we read on the page of its creators, Brian Halligan and Dharmesh Shah, «HubSpot was founded in 2006 as a result of a ......

The credit to real estate activitie...

According to the report "Evolution of credit to productive activities in Spain by activity sectors", published by AIS Group (specialist consultant in credit risk management), the portfolio of loans to companies engaged in real estate activities fell more than 10,800 million euros between 2016 and 2017. This fall in credit to this segment means ......

Social networks for real estate: Se...

Beware of accidentally placing confidential information of the agency! You always have to maintain some levels of privacy. Keep in mind that the networks of companies must be public in order to have greater diffusion, so we must be very careful with the information we provide. Also, networks offer privacy options ......