Six-month Euribor continues to fall, dipping below 3%
The six-month Euribor fell to 2.954% on Tuesday, dropping below the 3% mark this week for the first time since it crossed that level on 23 September. Most home loans in Estonia are tied to this rate.
The six-month Euribor rate kept declining on Tuesday, falling to 2.954%. The day before, it stood at 2.986%.
This week marks the first time the rate has slipped below 3% since it moved above that level on 23 September.
The six-month Euribor is the benchmark to which most housing loans in Estonia are linked, so it directly affects borrowers' costs. When the rate drops, the interest portion of monthly loan payments also shrinks, provided the loan has reached its rate review period.
Historical context
At its peak in mid-October 2023, the six-month Euribor exceeded 4%. The all-time high for this rate was recorded in the winter of 2008, at almost 5.5%.
