Mortgage and Spread: Threat or opportunity?

In Italy the nightmare Spread is back … it was for some time that we didn’t hear about it: it was 2011 (November) when in Italy it reached the record share of 574 points.

Today, after almost seven years, with the approval of the “expansive” maneuver to push the deficit-GDP level above the values ​​set by the previous commitments of the Italian market, the financial markets have reacted badly: this has resulted in a sharp ” surge ” ”Of the Spread.

After all, politics and Spread are closely related, but what changes for those who already have a loan in progress? And, for those who intend to open one? Let’s find out in this dedicated guide.

Financial markets: the Spread nightmare returns

mortgage loan

Immediately after the announcement of the Government of wanting to push the deficit-GDP level above the expected values, the spread jumped to 245 points , with a peak at 250.

On 28 September, the index exceeded 280 points and the stock market fell to more than 4%: it was a predictable sharp rise.

This has alarmed all financial operators, but also President Sergio Mattarella himself.

Spread increase: what are the consequences for borrowers?

mortgage loan

When the spread increases, interest rates increase: this means that the state is forced to spend higher amounts to finance its public debt.

Faced with this sharp rise in the Spread, one wonders what the consequences are for borrowers who already have a mortgage in progress and for aspiring borrowers.

Fixed-rate mortgage

Fixed-rate mortgage

For the former, don’t worry: this applies both to those who have already signed a fixed-rate mortgage – which guarantees a constant installment for the entire duration of the contract – and for those who have opted for a variable-rate mortgage .

In this case, the Credit Checker, which is not connected to the spread trend, impacts on changes in interest.

For those who, on the other hand, intend to take out a mortgage, things could change. What will happen to the new mortgages will depend a lot on how much the Spread will increase and on the time frame in which it will remain high.

Can we hypothesize a possible increase in interest rates on mortgages that will be disbursed in the near future? It is not to be excluded. Discover the best opportunities for your mortgage, with Conlaí’s consultants.