Six-month Euribor rose to 2.688% by the end of last week

By the end of last week, the six-month Euribor, which is the benchmark for the majority of housing loans in Estonia, stood at 2.688%. This marks an increase from 2.626% a week earlier.

This is still far from the historical peaks. The most recent high was reached in mid-October 2023, when the rate exceeded 4%. The all-time record was set in the winter of 2008, when the rate approached 5.5%.

The six-month Euribor is particularly significant for Estonian residents because most home loans issued in the country are linked to this rate. Over the past few years, the average housing loan in Estonia has been around 100,000 euros, with loan terms ranging from 20 to 30 years.

Changes in the Euribor rate directly affect the monthly payments of many borrowers. Although the current rate is well below the record set in October 2023, it remains higher than two years ago, when interest rates were near zero.