In February, the interest rate implicit in all housing credit contracts in Portugal fell for the first time since March 2022, to 4.641%. That’s 1.6 basis points less than in January (4.657%), show data from the National Statistics Institute (INE), released this Monday.
If we only look at contracts signed in the last three months, the interest rate is lower and fell for the fourth consecutive month compared to January. According to the statistical office, for these contracts, the interest rate increased from 4.315% in January to 4.197% in February.
The average interest rate includes, in addition to the purchase of housing, interest for construction and rehabilitation. Thus, if we only analyze housing acquisition financing, “the most relevant in all housing loans”, according to INE, the interest rate also fell for the first time since March 2022, to 4.606% (4.623% in January ).
In contracts signed in the last three months, the interest rate was set at 4.182%, lower than that recorded in January.
The average payment fell by one euro, to 403 euros. Of this total amount, 248 euros (62%) correspond to interest payments and 156 euros (38%) to amortized capital.
In contracts signed in the last three months, the average installment value fell by 11 euros compared to the previous month, to 628 euros in February.
INE also indicates that, in the month under analysis, “the average outstanding capital for all contracts rose by 368 euros compared to the previous month, standing at 65,158 euros”. In the case of contracts signed in the last 3 months, “the average amount owed was 124,216 euros, 994 euros less than in January”.
