THE economy is in a phase of significant changes that directly affect those seeking a mortgage or want to invest in accommodation. Recent months have seen a series of warnings from experts about movements seen in the mortgage market, which has generated great interest among potential buyers. With the possible drop in interest rates, economists predict that this situation will lead to an increase in real estate prices, generating a new “boom” in the sector. But what does this scenario really mean for the average buyer? The answer lies in the warning of a famous economist.
Only a few months ago, Gonzalo Bernardos, renowned economist and professor at the University of Barcelona warned of the impact of falling interest rates on the property market. His predictions went beyond a simple decline in interest; highlighted the risk that property prices could skyrocket due to this trend.has. What the buyer can save in interest could be eclipsed by rising house prices, he said. This phenomenon, he stressed, could lead to a “mortgage war” between banks and financial institutions to offer better conditions to customers, in order to capture more demand in a market hungry for affordable housing. And it seems that this long-awaited moment has arrived. In fact, this economic expert confirmed that his predictions are coming true, so pay attention because We tell you everything this economist said.
The warning from economist Gonzalo Bernardos
“I told you there would be a mortgage war. Today I tell you that it has already happened“. These words of Gonzalo Bernardos in the social network surprisingly low interest rates of 1.5% for the first five years. However, the economist also warns that these conditions are not accessible to everyone and that only some will be able to access these opportunities.
What does the “mortgage war” mean for buyers?
The “mortgage war” means banks are competing to attract more customers at a time when demand for housing is expected to increase. This competition results in Offers with reduced interest rates and financing conditions that facilitate the acquisition of properties. The economist pointed out that, in this context, those looking for a mortgage loan can find options that would not have been available a few months ago, which undoubtedly constitutes an advantage for some buyers.
In this panorama, Mixed mortgages take center stage. These offer a fixed interest rate for the first few years (in some cases, up to 1.5%), then move to a variable rate. This modality could be advantageous for those who want stability in initial payments, although it is important to consider that moving to a variable rate involves a risk of increases in the future.
Impact on real estate prices: the dreaded real estate “boom”
The economist’s warning is not limited to mortgage conditions; It also predicts a substantial increase in property prices. As rates fall, demand for real estate tends to increase, pushing up prices. This phenomenon, in his words, will lead to a real estate “boom” where transactions and property values will reach high levels.
In this contextthe recommendation to buyers is clear: making quick decisions could be key buy a house before prices rise significantly. Although many might wait for a drop in rates to access better mortgage terms, rising prices could reduce or cancel out the benefit of this drop, especially if the home in question significantly increases in value.
What should the buyer consider in this scenario?
For those considering buying a house, the expert advises to be aware of the double impact of this situation. The mortgage war offers a window of opportunity on favorable terms, but this advantage could quickly disappear if property prices continue to rise. It is therefore crucial to analyze mortgage offers, including mixed mortgages, in detail and study developments in the real estate market in your area of interest.
Furthermore, it is important to remember that not all customers will be able to access mortgage loans on special conditions, such as the mixed rate of 1.5%. Financial solvency and credit history play a vital role in qualifying for these products. The buyer must therefore be ready to demonstrate their financial capacity if they wish to benefit from these opportunities.
The announced “mortgage war” is only the beginning of a panorama of changes in the real estate sector. Buyers should be aware that these decisions can carry both benefits and risks. The possibility of obtaining a mortgage loan on attractive terms may seem tempting, but it is essential to proceed with caution. and carefully evaluate all options, because the real estate market is in a phase of accelerated transformation.
In conclusion, this period represents an opportunity for those who wish to buy housing, but he also bears the responsibility to make informed decisions.
