Fixed or variable rate now? (2025-2026)
The most repeated question in Spanish mortgage forums. Nobody has a crystal ball — and your bank manager doesn't either, no matter how confidently they speak. What exists is data, trends, and arguments from people signing right now.
The context: rates falling
The ECB has cut rates continuously from 2024 into early 2026, moving from 4% down to around 2%. The Euribor has followed and sits around 2-2.5% in early 2026. Competitive fixed-rate mortgages (hipoteca fija) are at 1.7-2.2% with add-ons (vinculaciones), and variable-rate deals offer spreads of Euribor + 0.30% to + 0.70%.
The gap between fixed and variable is now narrower than in 2023, when fixed rates sat at 3-4% and variable exposed you to a Euribor near 4%.
The case for fixed
Peace of mind. No worrying about rate revisions or ECB meetings. As one user put it: "A fixed mortgage at 1.75% — there's no point amortising early. You'll get more than 1.75% from practically any savings account."
Historically low fixed rates. Fixed rates at 1.7-2% have not been seen since 2021-2022. If inflation rebounds or geopolitics gets worse, these levels may not return.
Protection against the unexpected. Tariffs, conflicts, energy crises — any of these can push the Euribor up. With a fixed rate, you are insulated.
The case for variable
Short-term savings. With the Euribor at 2.5% and a spread of +0.50%, you pay 3% today. If the Euribor drops to 1.5% as some expect, you would pay 2% — below current fixed-rate offers.
The ECB keeps cutting. Market consensus in early 2026 is that rates could continue falling toward 1.5-2%. If they are right, variable wins.
You can switch later. If variable makes you nervous down the road, you can negotiate a novation (novacion) or switch banks (subrogacion) to a fixed rate. It is not free, but it is possible.
The mixed-rate option — the star of 2025-2026
The mixed-rate mortgage (hipoteca mixta) has become the forum favourite: a fixed rate for the first 3-10 years, then Euribor plus a spread. Ibercaja, Sabadell, and CaixaBank are offering competitive mixed products.
One example: "Mixed, 10 years at 1.6%, then Euribor + 1." Another: "Caja Rural, mixed 3 years at 1.4%, then Euribor + 0.3%."
The mixed-rate bet is that rates keep falling: you enjoy a low fixed rate during the years when you pay the most interest (the early ones), and by the time it switches to variable, your outstanding balance is smaller and the Euribor's impact is more moderate.
The risk: if in 5-10 years the Euribor is at 4%, your payment rises significantly. And during the fixed period, early cancellation fees can run up to 2%. The bank protects itself. You don't.
What people who have already signed say
Users signing in 2025-2026 are split roughly 50/50:
- Those choosing fixed do it for sleep quality: "I'm paralysed with doubt. Sabadell offers 1.9% fixed with add-ons. Caja Rural offers mixed at 1.4% for 3 years then Euribor + 0.3%. We're about to decide."
- Those choosing variable or mixed are betting the ECB continues cutting and the savings outweigh the risk.
There is no universal answer. The most honest advice: run the numbers under three scenarios (Euribor at 1%, 2.5%, and 4%) and choose the product you can live with in the worst case.
Related guides
Disclaimer: This guide reflects the market as of early 2026. Rates and conditions change. Check current data before making a decision.