The European mortgage market is seeing movement in early , driven by competitive adjustments from individual lenders rather than broad shifts in benchmark interest rates. While the Italian IRS remains stable at 3.20% and the Euribor is anchored at 2%, Intesa Sanpaolo has launched an aggressive campaign to undercut competitors with significant rate cuts across its mortgage offerings.
Intesa Sanpaolo Focuses on Fixed Rates
Intesa Sanpaolo, led by CEO Carlo Messina, is prioritizing fixed-rate mortgages, which remain the preferred choice for Italian borrowers seeking security. The bank’s intervention is substantial, with reductions ranging from 10-15 basis points for green mortgages to 20-35 basis points for standard properties. A particularly notable discount of up to 60 basis points is being offered to borrowers over the age of 46.
The focus on the over-46 demographic is strategic. Data from MutuiSupermarket indicates this age group currently represents over 25% of online mortgage applications – a solid segment banks are keen to retain.
Simulated Savings with Intesa Sanpaolo’s New Rates
To illustrate the potential savings, a simulation based on a €140,000 mortgage for a property valued at €220,000 reveals the following:
| Mortgage Type | Monthly Payment | TAN | TAEG |
| Green Mortgage | €660.26 | 2.95% | 3.21% |
| Standard Mortgage | €690.41 | 3.36% | 3.58% |
These figures demonstrate the potential for savings with Intesa Sanpaolo’s revised rates.
Banco BPM and Webank Respond with Consap Funding
The competitive pressure is extending beyond Intesa Sanpaolo. Banco BPM and Webank have also updated their rate lists, offering a 10 basis point discount on the spread for fixed-rate mortgages. More significantly, both institutions are reintroducing access to the Fondo di Garanzia Consap (Consap Guarantee Fund).
The reinstatement of the Consap fund is aimed at assisting young borrowers under 36, easing access to credit even without a substantial down payment.
Implications for Mortgage Seekers
For individuals currently seeking a mortgage, presents a strategic window. With benchmark rates remaining static, potential savings now hinge on comparing offers and capitalizing on the rate cuts announced by major banking groups. The current environment favors borrowers who actively shop around for the best available terms.
The average 30-year fixed mortgage rate across the market currently stands at 6.18% as of , according to Forbes Advisor. This provides a benchmark against which to evaluate the more competitive offerings now available from Intesa Sanpaolo, Banco BPM, and Webank.
Intesa Sanpaolo Bank Albania also offers house mortgages with terms up to 30 years and interest rates starting from 3% in the first year, providing further options for prospective homebuyers. The bank emphasizes personalized loan options, allowing borrowers to tailor the amount and tenor to their specific financial needs.
The broader trend towards fixed-rate mortgages is also evident in recent data. Fixed-rate disbursements have increased by approximately 90% year-over-year, now representing almost 83% of total mortgage lending. This shift reflects a preference for rate certainty in a fluctuating economic landscape.
However, it’s important to note that variable interest rates remain an option, and Intesa Sanpaolo Bank Albania offers these as well, though the rate is indicative and subject to change based on relevant index fluctuations.
Looking ahead, Intesa Sanpaolo has announced plans to cut 6,100 jobs by 2029 as part of a broader strategy to reduce costs and increase profitability, which may influence its lending practices in the long term. The bank also intends to distribute nearly half of its market capitalization to shareholders, signaling a focus on shareholder value.
