The best mortgages in March 2023: is the fixed or variable rate better?

When buying a house with a mortgage loan, you need to choose between a fixed and variable rate: the best mortgages for March 2023.

In the last year there has been a steep rise in the interest rate on mortgage loans. The reasons for the upward trend are related to the economic crisis and the increase in the infringement rate.

In any case, for some time now the stipulation of a mortgage with fixed rate seems to be the most convenient solution compared to the variable. Let’s find out which are the best proposals for March 2023.

The best mortgages in March 2023: fixed or variable rate?

On the occasion of the month of March 2023, the European Central Bank (ECB) proceeded to operate a increase in mortgage rates. However, the floating rate seems to be the one that is negatively affected by these changes, compared to the fixed rate.

Currently, in fact, it is advisable to take out a fixed-rate mortgage.

After all, the economic crisis seems far from over. As a result, there is a possibility that the situation could further deteriorate in the coming months and years. Opt, in this historical moment, for a floating rate is real suicide.

In fact, the variable rate, at this time, represents the least convenient solution because it causes a substantial increase in the repayment installment of the loan.

Il fixed rateon the other hand, manages to offer greater stability to borrowers who are certain of always paying the same installment, until the loan is extinguished.

However, let us remember that the ECB interventions they are intended to counter inflation and price increases. Unfortunately, for the moment, the situation should continue on this trend and, therefore, we could also see a change in the coming months a rise in mortgage rates.

Those who have taken out a variable rate mortgage, already in the course of 2022, have witnessed a increase of the installment of about 200 euros per month. With the new ECB hike in March 2023, borrowers who have chosen the floating rate will see the repayment installment of additional 35 or 40 euros per month.

It is therefore clear that in this historical period of great uncertainties, the best solution is the fixed rate.

Let’s find out which are the best fixed-rate mortgages in March 2023.

Banks’ offers

Observing the IRS information from Euribor one would think that in the course of 2024 we could witness one reduction of interest rates on mortgages. Meanwhile, those taking out a mortgage loan should prefer the fixed rate to the variable, to avoid unpleasant surprises.

In the meantime, we remind you that those who have taken out a variable rate mortgage and have witnessed a dizzying growth in the monthly installment have the possibility of renegotiate the loan or carry out the portability or subrogation of the same. In this way, you can log in more advantageous solutions at no cost.

On the other hand, those who are taking out a mortgage for the first time to purchase a property should consider these three offers:

• BPER bank fixed rate loan
• Intesa San Paolo youth loan
• The carefree young BNL loan.

BPER fixed rate mortgage

Il BPER fixed rate mortgage represents the ideal solution for those looking for a loan to be used in the maximum peace of mind. In this way, in fact, the borrower will have no surprises at the end of the month and will know with certainty what the amount to pay is, until the loan is paid off.

The installments, in fact, are constant and of the same amount, for the entire duration of the loan.

To access the BPER fixed rate mortgage it is necessary to stipulate a loan agreement with a maximum duration of 30 years. In any case, the borrower has the option of choosing the fixed key even only for the first period, and then moving on to the variable.

If we assume that we are buying a property worth 150,000 euros, for which we need a loan of 100,000 euros, these are the solutions:

• At 25, the borrower will pay a monthly installment of 500.09 euros with a rate of 3.49% and Taeg of 37.5%. The loan in question also includes the civil home fire policy.
• At thirty years oldthe borrower would pay a monthly installment of 445.70 euros with a rate of 3.44% and Taeg of 3.69%.

Intesa San Paolo youth loan

Intesa San Paolo, one of the leading groups in the banking sector, offers a mortgage aimed at young people or those who have less than 36 years of age.

For this category of buyers who are buying their first home, it is possible to enjoy support dedicated to them.

In this case it is necessary to stipulate a fixed rate mortgage lasting at least 35/40 years for a amount up to 80% of the property value. The opportunity is available until May 31, 2023 and buyers will have the opportunity to take advantage of one discount on investigation fees: they will cost half!

Also in this case let’s try to hypothesize that you have to buy a property worth 150,000 euros and that you have to ask the bank a loan for €100,000.

By opting for the fixed rate and a time frame of 30 year refundthe borrower would end up paying a monthly installment of 480.30 euros. In this case, the fixed TAN is 4.05%, while the Taeg is 4.38%

If, on the other hand, the restitution must take place over 35 years the borrower will find himself paying an installment of value of 422.04 euros per month. In this case the fixed TAN is 3.65%, while the Taeg is 3.95%.

With a 40 year mortgagethe installment to be paid will be 390.40 euros per month.

The best mortgages of March 2023: carefree mortgage for young BNL

Also in this case it is a mortgage directed in favor of subjects under 36. In the case of the purchase of a first home whose real estate value is equal to 150,000 euros and the requested amount is 100,000 euros, the possible to apply for a mortgage:

• At the age of twenty paying a monthly installment of 590.29 euros with Taeg of 3.92% and TAN of 3.7%.
• 25 years paying an installment of 506 euros per month with a fixed TAN of 3.6% and Taeg of 3.79%.
• At 30, the installment is 454.65 euros per month with a fixed TAN of 3.6% and Taeg of 3.77%.