Self-employed people can change their mortgages from variable to fixed rates without commissions until December 31

With just a few weeks left until the end of 2023, the Bank of Spain has recalled some of the measures in force until December 31 in mortgage matters. For example, the possibility of self-employed people changing their home mortgages from variable to fixed rates. without paying any type of commission to your bank.

This measure is included in the royal decree approved by the Government to alleviate the increase in interest rates that the European Central Bank (ECB) has carried out this year, in an environment of high inflation. So, The interest rate is currently at 4.5% one of the highest rates in recent years.

Although the measure does not affect mortgages signed to buy commercial premises or offices, many self-employed people work from home or pay a mortgage for their home. Therefore, the measure could mean significant savings for their pockets, at a time of increasing costs for many self-employed workers and small businesses.

Besides, The decree also affects amortizations, the advance payments that mortgagors can make to reduce the payment terms of their mortgages. So, They will be able to do so without having to pay a commission or penalty to their banking entities before December 31. “Remember that any mortgagor “You can request the application of this measure, regardless of your economic situation,” added the Bank of Spain.

Two out of every three self-employed people do not buy any property due to high prices and interest rates

The temporary elimination of commissions for changing certain mortgage conditions has occurred due to the growth in interest rates, a problem that is leading to a drop in the purchase of properties among the self-employed. Specific, 66% end up not being able to buy a commercial premises or home to carry out their activityaccording to this newspaper a few weeks ago.

In this sense, “smaller companies and individuals, who need to resort to financing, are having mortgage problems and this makes some choose to rent rather than buy, transaction times are longer than usual and price negotiation is delayed,” explained Guillermo Preckler, CEO of Brickbro, a specialized firm.

Therefore, the buyer profile is changing, a circumstance that affects the self-employed and small businesses who want to acquire a premises to start their activity or as a means of investment for the future. “They are coming new buyers with an investor profile, who previously only invested in residential and who now see in the premises a very attractive opportunity to make profitable”, analyzed Guillermo Preckler.

Furthermore, according to experts, the high price of commercial premises and other properties will continue to be a problem over the next year. At least, “until the second half of 2024, when the market will correct prices and the situation will ease. In general, the volume of transactions will remain more or less stable, although with longer times until 2025, when, we hope, if there are no additional macroeconomic complications, that purchase and sale transactions will increase and the market will become more liquid,” he concluded. the CEO of Brickbro.