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In June 2024

Implicit interest rate on housing loans in the Autonomous Region of Madeira continued its downward trend

According to information provided by Statistics Portugal (INE), in June 2024, the implicit interest rate for all housing loan agreements in the Autonomous Region of Madeira stood at 4.645%, representing a decrease of 0.042 percentage points (pp) compared to the previous month. It is noteworthy that this marks the fifth consecutive reduction in this indicator, following 22 consecutive months of increase. It should also be noted that in June 2023, the implicit interest rate on housing loans was 3.786%.

The average value of loan repayments for all housing loan agreements remained unchanged from the previous month, at 417 euros, with interest at 248 euros (down by 1 euro over the previous month) and amortisation at 169 euros (up by 1 euro over the previous month). In the same month last year, the average value of loan repayments was 374 euros.

Meanwhile, the average outstanding amount for housing loan agreements increased for the 14th consecutive month, standing at 65 046 euros in June 2024 (compared to 64 868 euros in May 2024). A year earlier, it was 62,738 euros.

At the national level, and considering all housing loan agreements, the implicit interest rate decreased to 4.513%, down by 0.043 pp over the previous month. The average value of loan repayments for all agreements remained at 404 euros, while the average outstanding amount increased to 66,279 euros (compared to 65,924 euros in the previous month). In the country, interest rates decreased by 1 euro compared to the previous month  to 245 euros, while the amortisation increased by 1 euro to 159 euros.

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