Overview
- The euríbor closed the daily quote at 3.306% on Friday, October 30, giving October a monthly average of 3.239%, a slight fall from September's 3.247% but far above last year's level.
- Higher readings are already translating into bigger mortgage bills: a typical 137,000-euro, 25-year loan in Galicia with a 1% spread would see payments rise by about €80 a month.
- Markets priced an ECB pause for October, yet analysts widely expect a likely rate increase in December, which keeps the euríbor near current levels in the short term.
- Traders and commentators point to rising inflation risk and tensions in the Middle East, including threats to shipping through the Strait of Hormuz, as factors that have pushed rate expectations up.
- After an annual average drop from 3.275% in 2024 to 2.222% in 2025, 2026 has reversed course; borrowers should watch revision frequency and remaining principal because small daily moves compound into large yearly changes.