Breaking News: Mortgage Trends in Trentino-Alto Adige Reveal Consumer Preference for Fixed Rates
Bolzano, Italy – New data from the Mutuionline Observatory reveals that the vast majority of consumers in Italian Trentino-Alto Adige continue to favor the security of fixed-rate mortgages. This trend continues to dominate the region’s mortgage market, making up 95.7% of the total requests in the second quarter of 2025. Despite a recent ECB rate cut, the shift towards variable rates remains minimal.
Preferences and Data Insights
According to the latest statistics, fixed-rate mortgages have been the go-to choice for homebuyers in the region. In contrast, the request for variable-rate mortgages has seen a modest increase, rising from 0.3% to 4.0% over the last quarter. This uptick can be attributed to the significant decline in the average TAN (Annual Percentage Rate), making variable-rate loans more attractive.
Purpose of Funding and Demographic Trends
Over half (55.3%) of the mortgage applications in the second quarter of 2025 were for purchasing first homes. Subrogation (switching mortgages) accounted for 33.8%. Meanwhile, the purchase of second homes (7.3%), renovation (2.8%), and debt consolidation (0.8%) rounded out the funding purposes. Despite these shifts, the average loan amount declined slightly from 184,500 euros to 178,800 euros, and the average property value dropped from 311,600 euros to 304,200 euros.
The duration of requested loans also decreased, with the average falling from 24 years and 4 months to just under 24 years on average. The average age of mortgage applicants has remained constant, hovering around 39 years and 2 months.
Comparative Views: Bolzano vs. Trento
When comparing the two provinces, Bolzano leads in property prices. The average property value exceeds 363,300 euros, and average loan requests hit 201,016 euros. On the other hand, Trento’s average property value sits at 270,821 euros, and loans average 163,826 euros. Further, loans in Trento tend to be longer in duration (24 years on average), aligning with an older applicant demographic of nearly 40 years and 10 months.
Looking Ahead
Analysts suggest that the recent ECB rate cut may not yet be reflected in consumer preferences but could influence future mortgage choices. Homebuyers should closely monitor market trends and consider seeking professional advice to optimize their mortgage options. Historical data shows that consumer preferences are deeply influenced by economic stability and market projections.
From real estate experts’ tips to understanding the impact of EU regulations, staying informed ensures better financial decisions for potential homebuyers in Trentino-Alto Adige.
