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Euribor Climbs to 2.80% in May and Raises Variable Mortgage Bills

The rise is driving Spanish borrowers toward fixed or mixed loans while markets wait for the ECB's June 11 policy signal.

Overview

  • The euribor averaged 2.80% in May after an upward run that began in March, bringing the index to levels not seen since late 2024.
  • Higher euribor means bigger bills for variable-rate borrowers: a €200,000, 30-year loan with a 0.60% spread would cost about €76 more per month now, according to published examples.
  • Daily readings stayed below 3% in May, a detail market analysts and iAhorro say suggests some containment despite the month-on-month rise.
  • Borrowers are increasing moves to fixed or mixed mortgages and to subrogation because some fixed offers are advertised near 2.2% and mixed near 1.85%, while comparable variable deals can reach about 3.3% including spreads.
  • Traders and households are focused on the European Central Bank meeting on June 11 because any change in ECB policy rates could alter short-term interbank costs and the future path of the euribor.