Mortgage rates continue to rise to 4.92% in November. Loans are falling

MILAN – Overall mortgage costs in Italy continued to rise in November, according to the latest snapshot provided by the Bank of Italy. A picture that probably doesn’t yet capture the latest downward movement in rates that – especially for fixed rates – market operators have encountered in the coming weeks. As the expectation of a central bank turnaround began to show on the benchmark indices and from there appear in the market, still timidly, but outlining the trend.

If we stick to the consolidated data of Via Nazionale, in the newly published publication “Banks and Coins” we read that “in November, the interest rate on loans disbursed in the month to families for the purchase of houses, including ancillary expenses (Global Effective Annual Rate, Taeg) was 4.92 percent, up from 4.72 in October.

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Via Nazionale again explains that the APR “on new disbursed consumer loans was 10.27 percent (10.45 in the previous month)”, in this case falling. A small increase in rates “for new loans to non-financial companies was equal to 5.59 percent (5.46 in the previous month), for amounts up to 1 million euros it was 5.98 percent, while the rate from new loans for amounts exceeding this threshold was 5 “30 percent”. At the other end of the scale, interest rates on all outstanding deposits were equal to 0.95 percent (0.92 in the previous month)”.

As for the general dynamics of the credit market, again in November, loans to the private sector “decreased by 3.2 percent in twelve months (-3.1 in the previous month) – explains Bankitalia – Loans to families decreased by 1.2 percent in twelve months months (they fell by 1.1 in the previous month), non-financial companies fell by 4.8 percent (-5.3 in the previous month). Private sector deposits decreased by 4.1 percent in twelve months (-5.0 in October); bond financing increased by 19.7 percent (17.9 in October)”.

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