Euribor May 2026: how the 2.804% rate may affect your variable mortgage

The 12-month Euribor rate reached 2.804% in May 2026, according to the figure published by the Bank of Spain on 1 June. That is up from 2.747% in April 2026 and, more importantly for annual mortgage resets, from 2.081% in May 2025. The year-on-year difference is 0.723 percentage points.

This matters if your variable mortgage in Spain resets using the May figure. A yearly review may pass much of that difference into your monthly payment for the next twelve months. The exact result depends on your remaining principal, remaining term, bank spread, and reset frequency.

For the general framework, see the mortgages pillar, the complete mortgage guide for Spain, and the guide explaining what Euribor is and why it moves.

What is the Euribor rate for May 2026?

The latest Bank of Spain figures show the recent change:

Period	12-month Euribor
May 2025	2.081%
April 2026	2.747%
May 2026	2.804%

The month-on-month increase is modest: 0.057 points since April. But if your mortgage resets annually, the more relevant comparison is usually with the same month last year. That gap is larger: 0.723 points.

The Bank of Spain notes that these reference indices become officially valid after publication in Spain's Official State Gazette. Its published release already provides the monthly figure needed to estimate an upcoming payment.

Why a 0.723-point increase can affect your payment

Many variable mortgages in Spain use this formula:

12-month Euribor + the bank spread in your contract

If your spread is 0.80%, a reset using May 2025 Euribor produced an approximate rate of 2.881%. Using May 2026 Euribor, the resulting rate would be approximately 3.604%.

The bank applies the new rate to your outstanding principal, not the property's original price. The number of years remaining also matters. A larger outstanding balance and a longer remaining term will usually make the impact more visible in euros per month.

Examples for an annual mortgage reset

These examples are estimates. They assume a variable mortgage with a 0.80% spread, the standard French amortisation method, and an annual reset replacing May 2025 Euribor with May 2026 Euribor.

Example 1: €120,000 remaining over 20 years

Using the May 2025 figure, the approximate rate was 2.881% and the payment was around €658 per month. With the May 2026 figure, the rate becomes 3.604% and the payment approaches €702 per month.

The estimated increase is about €44 per month, or around €528 per year.

Example 2: €180,000 remaining over 25 years

Under the same assumptions, the approximate payment rises from €842 to €911 per month.

The estimated increase is about €69 per month, or around €824 per year.

Example 3: €200,000 remaining over 25 years

The approximate payment rises from €936 to €1,012 per month.

The estimated increase is about €76 per month, or around €916 per year.

You can enter your own figures in the mortgage calculator. Your mortgage deed remains the source of truth for the benchmark and date your lender will apply.

What if your mortgage resets every six months?

If your mortgage resets every six months, do not automatically compare May 2026 with May 2025. Your lender will apply the terms set out in your contract, and the useful comparison will be with the rate used at your previous reset.

A six-month reset usually passes Euribor movements into the payment more frequently. That can bring increases sooner, but it can also pass future decreases through sooner. An annual reset fixes each change for longer, so a jump may feel more noticeable in your household budget.

What to check before the new payment arrives

Gather the concrete terms of your loan before deciding what to do:

Exact reset date.
Reference period stated in the mortgage deed.
Spread charged by your lender.
Outstanding principal.
Remaining term.
Linked products that reduce your rate.

With those details, you can estimate the new payment and decide whether your budget needs an adjustment. If the higher payment reduces your monthly headroom, the personal savings guide for Spain can help you structure expenses and savings goals.

Should you repay part of the mortgage early?

A higher mortgage rate makes early repayment more attractive because it reduces the principal generating future interest. But it is not automatically the best decision.

Before using savings, check that your emergency fund remains sufficient, that you do not have more expensive debts, and that you understand any early repayment charges. The Bank of Spain explains that a lender may charge compensation for early repayment where the applicable legal and contractual conditions allow it.

The choice also depends on your goal. Reducing the term usually saves more total interest, while reducing the payment frees up cash flow each month. The guide on whether to pay off your mortgage early when Euribor rises covers the decision in detail.

Fixed or variable mortgage after this increase

The year-on-year increase may bring the stability question back into focus. A fixed mortgage provides a predictable payment, while a variable mortgage may become cheaper if Euribor falls in future resets.

Do not decide based only on the latest monthly number. Compare total cost, fees, linked products, and how long you expect to keep the mortgage. Switching may help in some cases, but only after checking real offers against your current loan.

Quick answer

What is the Euribor rate for May 2026? The Bank of Spain published a 12-month Euribor rate of 2.804% for May 2026. That is 0.057 points above April 2026 and 0.723 points above May 2025.

Frequently asked questions

Did Euribor rise in May 2026?

Yes. The 12-month Euribor rate rose from 2.747% in April to 2.804% in May 2026.

How much did Euribor rise compared with May 2025?

It stood at 2.081% in May 2025. The year-on-year increase is 0.723 percentage points.

Will my mortgage rate rise by exactly 0.723 points?

The reference rate changes by that amount if your reset compares those two monthly figures. Your payment increase in euros depends on your outstanding principal, term, spread, and contract terms.

Which figure applies to a six-month reset?

Check your deed and the notice from your lender. With a six-month reset, the previous reference will normally not be May 2025.

Can early repayment reduce the impact?

Yes. A partial early repayment reduces your outstanding principal. Before proceeding, check your emergency fund, more expensive debts, and any applicable charge.

Conclusion

The May 2026 Euribor figure confirms that variable mortgages with an annual reset may face a higher payment than a year ago. The key is not only the 2.804% benchmark, but how it combines with your spread, outstanding principal, and remaining term. Running the numbers before the new payment arrives gives you time to adjust your budget and compare options calmly.