The proportion of mortgages with variable interest rates has reached a record level, according to an analysis from the Statistics Sweden (SCB). At the beginning of the year, over 70 percent of mortgages had variable interest rates, writes SCB in a press release.
"We see that households over the past year have refrained from fixing the interest rate on mortgages despite the fact that the fixed interest rates have been slightly lower than the variable ones", says Malcolm Svensson Rothmaier, national economist at SCB, according to the press release.
The households that prefer fixed interest rates also choose shorter loan periods, according to the analysis. Previously, it was most common to have binding periods of two to five years. Now, a majority of mortgages are tied for a shorter period of up to two years.
