Spanish home mortgage signatures rose 10.8% in June to 45,907 loans

June mortgage lending rebound

Spanish residential mortgage signings increased by 10.8% year-on-year in June 2026 to 45,907 operations, according to figures released on Wednesday by the National Statistics Institute (INE). The monthly total represents the highest volume of home loans signed in a June since 2010. The increase followed a 0.1% contraction recorded in May, which had interrupted a consecutive growth streak lasting nearly two years. On a month-on-month comparison with May, housing mortgage registrations expanded by 8.8%, while total loaned capital climbed by 10.9%. The average loan amount reached 178,365 euros, marking a 6% increase compared to June 2025 and a 2% advance over the previous month.

Interest rates and product breakdown

The average interest rate for housing mortgages stood at 2.96% in June, down from 2.98% in May and maintaining a run of 17 consecutive months below the 3% threshold. Fixed-rate loans remained the preferred structure for borrowers, accounting for 61.7% of all contracts at an initial average rate of 2.89%. Variable-rate mortgages, which include mixed-rate products, made up the remaining 38.3% with an initial average rate of 3.07%. Total capital lent across the country climbed 17.5% year-on-year to more than 8.188 billion euros.

Industry representatives linked the preference for fixed structures to uncertainty over European Central Bank rate decisions and Euribor movements. Laura Martínez, spokesperson for the financial comparison portal iAhorro, noted the tension between borrowing costs and real estate valuations:

The June data depict a market that, despite maintaining stability in interest rates and positive momentum in mortgage signings, is paying close attention to rising housing costs in Spain. This is the focal point of real estate stability, awaiting the next meeting of the European Central Bank and its decisions on the cost of money, which, with new tensions between the United States and Iran, could again impact inflation and therefore interest rates.

Regional disparities in borrowing activity

Geographic performance diverged across autonomous communities during June. The Canary Islands recorded the highest annual expansion at 31.4% with 1,663 operations, followed by Castilla-La Mancha at 23.2% and the Valencian Community at 16.1%. Catalonia registered a 14% increase in residential mortgage activity, while the Community of Madrid recorded a 5.2% rise across 6,976 contracts. Conversely, mortgage signings declined by 10.4% in the Balearic Islands to 783 operations, fell 9.1% in Cantabria, and dropped 7.3% in Galicia.

Semiannual totals and market dynamics

Across the first six months of 2026, home mortgage signatures in Spain accumulated a 7% increase over the previous year, reaching 259,681 contracts. Total capital deployed during the first half expanded by 17.5%, while the average mortgage amount rose by 9.8%. While housing sales grew by 1.6% in June, mortgage contracts outpaced transactions due to a reduction in cash purchases and changing buyer demographics. Juan Villén, general director of idealista/hipotecas, pointed to the shift away from all-cash investor transactions:

The buyer profile has changed, with an increase in those who need a mortgage to access housing.

The INE also documented 10,261 modifications to existing loan conditions in June, a 19.1% decline compared to the same month in 2025.