Interest rates

Interest rates will weigh on house prices in Europe for a long time. This was stated in the S&P report 'European Housing Markets: Sustained Correction Ahead'. According to Standard & Poor's analysts, housing values will hit rock bottom by the end of 2024.

The interest rate hikes set by the ECB are having a tangible impact on the pockets of Italian households, so much so that one percentage point of wages in Italy would be eroded due to the hikes.

On 27th October 2022, the ECB once again increased interest rates by a further 0.75 per cent, bringing the total cost of money to 2 per cent, a level not seen for a very long time. What does this mean for mortgage repayments in Italy?

Before embarking on the multi-year adventure of a mortgage to buy a house, it is good to have clear ideas and know exactly what you're getting into. If you're planning to buy a property and therefore take out a mortgage in Italy, there are a few things it is good to know before contacting the bank.

Inflation and geopolitical tensions have put an end to the grace period of recent years on the mortgage front, and it looks like cheap mortgages in Italy are becoming a think of the past.

In 2019, the total for outstanding mortgages in Italy was the highest ever: it reached 332.418 billion euros.

What's the link between the Coronavirus and mortgage rates in Italy? The obvious answer would be: there is no link.

Current mortgage rates in Italy seem to be too low to keep dropping. So will mortgage interest rates soon start to rise?