Calculate your new mortgage instalments

28/06/2022

Euribor is the most widely used reference index in Spain to calculate the interest rate for variable-rate mortgages. After years in which it has remained negative, in recent months it has started to rise.

If your mortgage is referenced to Euribor, you should pay attention to the review date, normally annual, of the interest rate that will be applied to each monthly instalment. And it is to be expected that your instalment will increase. If you want to know when and by how much, follow these steps:

1.- In your mortgage deed you will find the date on which the interest rate is reviewed, which tells you when your mortgage instalment will be updated.

This clause also indicates the Euribor reference date on which the calculation will be made, which is usually one or two months prior to the review date. For example, if your loan repayment is due for review in July, the Euribor rate used for the calculation may be that of May or June.

2.- You can use our simulator to calculate by how much your mortgage instalments will increase. Enter the outstanding capital, the interest rate calculated with the value of the new Euribor rate plus the agreed spread and the term left on your mortgage.

The result will be the instalment to be paid during the coming months until the next review, which tends to be yearly.

Bear in mind that your bank reviews the instalment automatically, although it must inform you in advance of the change in the interest rate and the amount of the new monthly instalment.