Revolutionizing the Mortgage Market: Introducing the Dual Mortgage with Coexisting Interest Rates

With the Euribor skyrocketing and fixed mortgages with sky-high interest rates, it is increasingly difficult to find an attractive mortgage, one that offers you both peace of mind and a reasonable interest rate. To fill this gap, variable mortgages were born, which are fixed for the first few years and then variable, a type of product that has been very well received by customers.

Innovating on the concept of mixed mortgage, Bankinter has recently launched the Dual Mortgage, which introduces a completely new loan category that combines the advantages of fixed and variable mortgages. Unlike mixed mortgages, Both interest rates coexist throughout the life of the loan.

The client decides from the beginning which percentage of the mortgage will be variable and which will be fixed, each with its own characteristics. In this way, the client can protect against increases in interest rates (fixed tranche) while benefiting from possible decreases (variable tranche).

During the life of the loan, the client has the flexibility to make amortizations in one or both tranches, allowing the balance between fixed and variable debt to be adjusted.

Without a doubt an interesting product, we have not done numbers so we cannot recommend it yet but at least the effort to find alternatives that make it easier for clients to pay the monthly mortgage payment is appreciated. It is clear that no matter what mortgage you sign, the bank will always win, the key is to find the one in which the bank earns less or the client finds it more bearable.