Loans in Spain increase year on year


INE lending data for November

Mortgage lending for the month of November issued in January by the INE show that lending for the purpose of buying a home was up by 32.2% on the same month of the previous year.

The level of Capital lent increased on 2015 by over 34% and the average loan size went up by 1.8%.

In total 25.413 new Mortgages in Spain were constituted within the month.

Market trends

The average loan size dropped back very slightly against the size of preceding month of October but again in the key areas of volume and capital lent November outperformed October.

In total loans for house purchases made up 64.1% of the total credit flowing into the market from Spanish credit institutions and was marginally up on the previous month.

The month on month increases were markedly different to general seasonal trends and in terms of number of loans granted by Spanish lenders it was the first time in over 5 years that November figures have been higher than Octobers.

Fixed rate and variable rates

After a small decrease in October lending being made with fixed rates increased again as a percentage of overall new lending. In November 31.8% of all home loans were taken on a fixed rate basis.

Average interest rates increased for applications from 3.19% to 3.22% in November  but remained just below average rates of the same month of the previous year.

Regional performance

Regionally the Islands saw some of the biggest increases in both terms of numbers of mortgages in Spain and capital lent.

With one months reporting to go before the year end the regions who seem to have benefited the most form increased activity in house purchase and lending volumes are Madrid, Valencia, Canary Island, Balearics and Asturias.

The key region that has struggled as the year  comes to a close is Cataluna who is up in capital lent but level on volumes.

Andalucia who started the year very well has ended up mid table in terms of both numbers of loans made and capital lent.


Despite the month being very positive in terms of numbers of Spanish mortgages constituted the number of loans redeemed or cancelled reached 26.127 so in terms of number of home loans on the books of the Spanish Banks November was yet another month where this decreased.


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