March 2006
You're watching the articles of Euribor for the month of March 2006.
The European Commission has warned of "risks" in some euro zone countries, including Spain, for the possible housing bubble and high mortgage indebtedness of households and advised "more cautiously" to financial institutions to grant hipotecas.En its latest quarterly report on the economy of the eurozone, the EU executive also said that "could revise the tax incentives for the purchase of housing." The report notes that there is no cause for concern for the economy of the Twelve as a whole, but calls for "special caution" to those countries where real estate prices have skyrocketed in recent years, citing Spain, France and Ireland - And has grown while the indebtedness increase consumption. It is not the first time that an institution of higher risk warning of overvaluation of housing. Last January, the European Central Bank, warned that the excess liquidity could lead to unsustainable increases in the price of the flats. In fact, was one of the reasons given to justify the two hikes in interest rates has made since last December. Insists that the risks to the growth of the eurozone borrowing by the family are "fairly low at this time", but stressed that some countries are more vulnerable to shocks such as a rise in rates, correction in property prices or revision to the Low growth prospects nationals.
Written by Carlos Lopez on March 27, 2006 0 comments
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The government has long questioned the reform of the Income Tax Act to include the reduction or elimination of deductions for housing reform acquisition or habitual. At present, these deductions allowed in Spain in large numbers, save for the full quota to 15 percent of the amount invested in the purchase of a home, with a maximum, and the investment of 9,000 euros per year. There are specific rules for the case of mortgage-related or not, dispose of housing savings accounts prior application or no exemptions for reinvestment, and so on. There are also autonomous communities that provide additional shares under certain circumstances. In Germany, for example, since Jan. 1 have disappeared several tax benefits for home purchase to save 6,000 million euros to the state coffers and thus be able to amend its more than notable public deficit. A study by the College of Economists, estimates that the deduction represents only an average increase of house prices of 8.3 percent. 
The study also concludes that the deduction for purchase of housing benefits to builders, developers and owners of land through the transfer of 3,000 million euros annually from taxpayers to the sector. The latest manifestations of the minister Solbes in this area went to insinuate absence changes, declaring that the current limit of 9,000 euros and the rate of 15 per cent are "reasonable" and that the system of deductions for housing alone would bear "some corrections" in the context of tax reform which the Government plans. MORE Information: http://www.diariomalagahoy.com
Written by Carlos Lopez on March 27, 2006 0 comments
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Euribor continues with the bullish scaling initiated in the middle of the 2005 and in the session today it surpassed the 3.1 percent.
It did not happen almost three years ago and means, from November of 2002.The index used to calculate the more mortgages in Spain reached in the session today the 3134 percent.
A percentage point more than in the middle of year 2005, when this indicator moved around the 2.1 percent. Taking as reference the monthly payment from a mortgage of 120,000 euros to twenty years, the ascent anticipated by the Euribor in 2006 could increase in price this one in about 55 euros, when happening of 625 to 680 euros to the month.
Year to the rise The Euribor to a year broke the barrier of 3.00 percent to the first of March. The experts consider that the types of interest that fixes the ECB for the euro zone will follow the rise and, therefore, the Euribor will continue with its ascending line, finishing until 2006 between the 3.5 and 4.0 percent.
The Euribor to a year is the average interest money is lent to that the European banks Vista to 12 months, calculated daily and the average of every month is used like official reference to fix the hypothecating conditions to most of the loans to variable type in Australia . If the Prognos of the experts are fulfilled and the Euribor is located around the 3.5 percent to end of year, the monthly payment of the mortgages will raise an average of the 8 percent in 2006.
Written by Carlos Lopez on March 24, 2006 with 2 comments
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The Confederation of Consumers and Users (CECU) today expressed concern over the "alarming situation in the domestic economy, 'and because household spending Spaniards' is increasing dramatically every year."
In a statement, he referred CECU and the survey of family budgets provided by the National Institute of Statistics, according to which every Spanish home spent an average of 24422.84 euros in 2005, 7.66 percent more than in 2004.
At the end of the year, according to the survey, 54.86 percent of households had difficulties reaching the end of the month, 0.64 percent less than a year earlier.
For CECU, this' problem 'that' seems already accommodated in our country ', should be addressed through the' price control '.
In this sense criticized the price increases in "core areas" such as light, gas and transport, which along with the usual fuel price increases, 'do raise the fixed monthly spending of each household. "
To these costs, the Confederation added the rise in the Euribor, and with it the cost of mortgages, 'major problem for the excessive price of housing. "
CECU 'required' to the authorities and all social sectors to take necessary measures' to download the consumer's excessive weight borne on a monthly basis in its economy 'and to' avoid that half of the families can not reach end of the month '.
Source: http://actualidad.terra.es/
Written by Carlos Lopez on March 23, 2006 with 1 comment
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If monetary policy further in the hands of the Bank of Spain, interest rates would be at least 4.5%. The director of studies at the agency, Jose Luis Malo de Molina, said yesterday that it will enfriaría private consumption and facilitate the desired change in the composition of growth Spanish.
The head of Studies of the Bank of Spain, Jose Luis Malo de Molina, believes the hike-enfriaría private consumption encouraged by the 'wealth effect' that causes the cost of housing and raise the savings rate, reducing the needs of financing of the economy
Written by Carlos Lopez on March 22, 2006 with 1 comment
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The Users Association of Banks and Insurance Funds (ADICAE) offers until next Friday, 'no cost inform "about the change and revision of the clauses of mortgages underwritten by consumers, faced with' continuous rises' index Euribor , Up 3.1 percent.
According to the association reported today, 'because of rises in interest rates is thus a risk of over-indebtedness of the Spanish families who are at the limit of their capabilities real funding'
Therefore, under the slogan "Keep an eye on your mortgage, is for life ', the legal department of the association indicates to users on contributions to be paid after the rise in the Euribor,' the legality of rounding applied ',' the system of depreciation prescribed 'or' oversight of the interest rate to be applied. "
Written by Carlos Lopez on March 22, 2006 with 1 comment
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The European Commission has warned of "risks" in some euro zone countries, including Spain, for the possible housing bubble and high mortgage indebtedness of households and advised "more cautiously" to financial institutions to grant hipotecas.En its latest quarterly report on the economy of the eurozone, the EU executive also said that "could revise the tax incentives for the purchase of housing." The report notes that there is no cause for concern for the economy of the Twelve as a whole, but calls for "special caution" to those countries where real estate prices have skyrocketed in recent years, citing Spain, France and Ireland - And has grown while the indebtedness increase consumption. It is not the first time that an institution of higher risk warning of overvaluation of housing. Last January, the European Central Bank, warned that the excess liquidity could lead to unsustainable increases in the price of the flats. In fact, was one of the reasons given to justify the two hikes in interest rates has made since last December. Insists that the risks to the growth of the eurozone borrowing by the family are "fairly low at this time", but stressed that some countries are more vulnerable to shocks such as a rise in rates, correction in property prices or revision to the Low growth prospects nationals. 
