Mortgages, Unimpresa: “In Italy the highest rates in Europe”

Italian banks practice the worst conditions on loans for the purchase of homes and with an average rate of 4.23%

Taces on record mortgages in Italy. Compared to the main European countries, Italian banks practice the worst conditions on loans for the purchase of homes and with an average rate of 4.23%, Italy has the highest level practiced by credit institutions in Europe. This is what emerges from a document by the Unimpresa Study Center.

The document highlights that decidedly more favorable conditions, however, are found outside our borders, considering that in Italy there is a difference of 52 basis points compared to Germany and Spain (3.71%), 135 points compared to France ( 2.88%), by 37 points compared to Austria (3.86%) and by 9 points compared to Portugal (4.14%). According to the document of the Unimpresa Study Center, if in 2021 Germany, Spain and France recorded rates close to those in Italy, the same did not occur starting from 2022: while in Italy last year an average rate of 3 was applied, 34%, in Spain 2.91% was sufficient and in France even 2.05% with a gap of 129 basis points.


According to the Unimpresa Study Centre, which elaborated data from the European Central Bank – last May in Italy the average rate on new mortgages stood at 4.23%, the highest among the main eurozone countries: in Germany and in Spain it was at 3.71% with a spread of 52 basis points, in France at 2.88% with a gap of 135 basis points, in Austria at 3.86% with a spread of 37 points and in Portugal at 4, 14% with a gap of 9 points.

In 2021, there was a substantial alignment in the conditions applied by banks for real estate credit: in Italy the average rate was 1.40%: only 8 basis points higher than in Germany (1.32%), by 2 points to Spain (1.38%), by 30 basis points compared to France (1.10%), by 18 basis points compared to Austria (1.22%) and by 60 basis points compared to Portugal (0, 80%). In 2022, then, a first enlargement took place, coinciding with the monetary tightening in the euro area: in Italy the average rate was 3.34%, while in Germany it was 3.52% (-18 basis points) , in Spain at 2.91% (+43 basis points), in France at 2.05% (+129 basis points), in Austria at 2.86% (+48 basis points), in Portugal at 3.30% (+4 basis points).

“It is complex – observe the analysts of the Unimpresa Study Center – to identify the reasons for these anomalous spreads on interest rates for home loans in Europe. The explanations undoubtedly do not reside in the credit risk parameters”.

“If we look in particular at the comparison with Germany, last year Italian banks offered more convenient conditions on mortgages than their German competitors: 3.34% against 3.52%. Over the course of a few months, during which the Central Bank brought the cost of money from zero to 4.25%, everything was reversed with the spread of 18 points in favor of Italy now in negative ground by 52 points” they conclude.