What does the mortgage interest rate do in August? We have listed the most important developments for our interest rate expectations, for example about Greece and inflation.
The previous forecast (July) was dominated by the Greek crisis. The uncertainty was that investors would opt for the safe Euro countries due to the uncertainty. We see that capital market interest rates fell slightly as a result in July (more supply in the market). A departure from Greece from the Eurozone is (ultimately) averted. There is now relative calm on the financial markets .
We see the following three factors that influence interest rate development :
- Greece must now meet Europe’s requirements. This will continue to provide exciting moments in the coming period.
- Low inflation also continues to affect the Eurozone. After a few months in which inflation rose, it remained the same in July.
- In addition, the ECB’s buy- in program is in full swing.
Long-term mortgage interest rate forecast
The above three developments have a depressing effect on the capital market interest rate. For our forecast, we combine this with the relative calm that the markets are currently in. We then come to the conclusion that the mortgage interest rates for the long fixed-rate periods in August remain at the current low level and may fall slightly .
Expect short fixed-interest periods
We can be short about the short-term fixed-interest periods (up to 1 year). The ECB maintains its current interest rate policy, which keeps market interest rates low. The short mortgage interest rate therefore remains at the current low level .
Tip: register for the Interest Rate Flash and follow the mortgage interest closely . Here you will find more information about the interest rate expectation.
History mortgage interest forecast:
- Mortgage interest forecast January
- Mortgage interest forecast December
- Mortgage interest forecast November
- Mortgage interest forecast October
- Mortgage interest forecast September
- Mortgage interest forecast July
- Mortgage interest forecast June