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First home purchase mortgages, Italy has the lowest rates

Italy is the country in the world where it is more convenient to ask for a mortgage. Although the costs of loans to buy a home may seem high to many, a research carried out by the experts at Facile.it shows how Italian banks offer the best mortgages around the world. A record in some ways unexpected, but which highlights how the Italian real estate market, despite the Covid-19 crisis, is all in all “fluid”.

First home purchase mortgage: the best interest rates in Italy

To carry out their research, the Facile.it experts simulated the purchase of a house worth 180 thousand euros for which a twenty-year mortgage worth 120 thousand euros. The survey analyzed the indices of 18 countries: a representative sample of the major nations around the world.

As mentioned, the analysis shows that the interest rates that Italian banks can offer have no equal in Europe and in the rest of the world. The APR (acronym Global Effective Annual Rate, ie the real cost actually paid by the user, including “ancillary” expenses) for a fixed rate mortgage varies between 0.75% and 0.8%, while for a variable rate mortgage ranges from 0.73 to 0.77%.

The Facile.it experts also point out that the difference between fixed and variable is effectively nullified and, in some cases, the former is cheaper than the latter. A condition that is unmatched in any other of the 18 countries analyzed by the report.

First home purchase mortgages, the situation in Europe and in the world

The primacy of Italy, however, is a question of cents. In France and Germanyin fact, the situation is not very different from that of our country: the (fixed) interest rates for the purchase of a home are respectively 0.80% and 0.83%. In all other markets, the rate is higher than 1%. Staying in Europe, the “ranking” of the most convenient nations is as follows: Spain (1,20%), in Switzerland (1,26%), Denmark (1,40%), Norway (2,02%), UK (3,2%) e Greece (4,82%).

Outside the Old Continent, however, buying a house with a mortgage tends to be more expensive. TO Singapore, the cheaper market, the rate is 1.85%, while in Japan the rate is 2.60%. In Canada e United States the bar rises over 3%, while in China the cheapest rate is 4.65%.

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