The interest in switching mortgages to another bank
Interest in switching mortgage banks reactivates to get better conditions
Introduction
During the second quarter of 2025, many Spaniards have seriously started to consider switching their mortgage to another bank. The reason? The gradual drop in interest rates by the ECB —now at 2%— has sparked interest in improving conditions and gaining financial stability.
🔍 Why are more people looking to switch their mortgage now?
In recent months, there has been an increase in the number of people looking to move their mortgage to another bank. Subrogations have grown to account for 4.5% of new operations, a figure not seen for more than half a year.
Applications have also increased: in June alone, 7.3% of mortgage requests were for subrogation. This trend is no coincidence. With a more stable Euribor, many see the perfect opportunity to switch to a safer product, such as a fixed-rate mortgage.
In fact, three out of four people who changed banks this spring chose that type of interest. Mixed-rate mortgages are also gaining ground, although to a lesser extent, while variable rates have been almost entirely ruled out.
🏦 How are banks responding?
Financial institutions have responded quickly. There are already banks offering fixed-rate mortgages with a nominal interest rate (TIN) close to 2%. Some even lower, with attractive conditions that appeal to those seeking stability and more affordable payments.
📍 Where is interest in switching highest?
Madrid leads the ranking of applications, followed by Catalonia, Andalusia, and the Valencian Community. In these areas, those looking to subrogate are usually people with stable incomes and some financial margin to renegotiate their debt.
Specifically, applicants from Madrid report average incomes of around €4,600/month, well above the national average, making it easier for them to negotiate new conditions with other institutions.
📈 What’s happening with the Euribor?
After many months of uncertainty, the 12-month Euribor remains stable at around 2%. This has lowered payments on many variable-rate mortgages, but also made fixed-rate ones very attractive again.
Forecasts suggest it will stay within that range —and could even drop slightly by year-end—, further reinforcing the confidence of those looking to switch to a more secure mortgage.
🧭 Is it a good time to switch?
According to experts, yes. Although we’re still far from the subrogation boom of 2023, the trend is clear: more and more people are comparing offers and considering switching banks to pay less and sleep more peacefully.
Switching mortgages can not only mean significant savings but also a way to protect oneself from future rate hikes. If you signed your mortgage a few years ago and think you could get better terms, now might be the perfect time.
