Mortgages down by a quarter in July amid rising interest rates

Against a background of rising interest rates, the number of mortgages on homes signed in Catalonia fell by 25.8% in July compared to the previous year.

In total, there were only 5,279 mortgage deals signed that month, according to data from the Mortgage Statistics of Spain's National Institute of Statistics (INE).

Compared to June, property loan deals fell slightly, by 1.1% (57 fewer agreements), meaning the figure has declined for two consecutive months. 

In all of Spain, mortgages on homes fell by 18.8% year-on-year in July, down to 29,223 deals.

The average borrowing rate on new deals climbed to 3.24% in July, the highest level since July 2016.