The number of mortgage loans to purchase a residential property in Spain reached 23,607 transactions during the month of April 2016, which represents an increase of 24.6% compared to the previous year, according to figures released by the National Institute of Statistics (INE). This percentage is the highest increase during the 2016. On the other hand, was recorded also an increase in the average capital borrowed to buy a house or an apartment in Spain, with an average amount of 108.354 euros, by 5.1% more than recorded in April 2015.
The figure in April 2016 is also the best for the fourth month of the year since 2011, when Spanish banks issued 31,275 mortgages, according to the INE, which bases on statistics provided by the official Association of Registrars. With regard to the annual averages, the granting of mortgage loans in Spain has been increasing for 23 consecutive months.
Compared with March 2016, the issuance of mortgage loans for the purchase of residential property in Spain rose by 2.7% and thus regained its positive trend, after a small decline in the previous month by -7.7%.
In addition, it is worth noting that in 85.2% of mortgage loans issued in Spain the variable interest rate was used, and the European index of Euribor as the main reference point, compared with 14.8% , which accounted for loans with the fixed rate. The average interest rate at the time of the issuance of mortgage loans for the purchase of residential property in Spain was 3.21%, which is by 2.2% lower than in April 2015, while the average length of mortgage was 22 years.
Among the autonomous communities of Spain, Andalusia (4,442), Catalonia (4,030) and the Community of Madrid (3,665) had the highest number of isued mortgages for buying houses and apartments in Spain, while in Cantabria (74.7%), Castilla- La Mancha (66.7%) and Extremadura (52.6%) the most significant changes were recorded. Only the Canary Islands recorded a decrease in the number of mortgage loans at 0.6%.
Regarding the total issued capital for the purchase of residential property in Spain, in this case, the regions of Madrid (575.1 million euros), Catalonia (489.3 million euros) and Andalucía (410.5 million of euros) occupied, one ore time, the top three positions of this ranking.