The average rate is now 3.59pc, roughly in line with the previous month, according to new data from the Central Bank of Ireland.<\/p>\n
But recent cuts in borrowing rates from AIB and PTSB will mean that the next set of figures from the Central Bank is likely to lead to a lower average mortgage rate.<\/p>\n
The average mortgage rate was 3.59pc in September compared with 3.58pc in August, the lowest they have been in a year and a half.<\/p>\n
The average rate across the Eurozone was 3.34pc, the Central Bank said.<\/p>\n
Mortgage rates at their lowest level since March 2023, but are the seventh highest in the Eurozone.<\/p>\n
Rates vary hugely across the currency bloc, from as low as 1.85pc in Malta to as high as 4.03pc in Latvia.<\/p>\n
First-time buyers and switchers were warned that there are wide variations in rates in this market from the 10 different lenders.<\/p>\n
An analysis by mortgage brokerage and price comparison site Bonkers.ie shows that for a first-time buyer couple borrowing \u20ac300,000, with a 10pc deposit, variable rates range from 3.29pc to 4.70pc.<\/p>\n
Rates for a three-year fixed mortgage range from 3.20pc to 4.85pc.<\/p>\n
Daragh Cassidy at Bonkers.ie reminded borrowers of the importance of shopping around when applying for a mortgage.<\/p>\n
\u201cMortgage rates remain at their lowest level since March 2023, which is obviously good news for prospective first-time buyers and those looking to switch their mortgage over the coming months.\u201d<\/p>\n
He said that in recent weeks we have seen further rate cuts from AIB and PTSB which should feed through into the data over the coming months.<\/p>\n
\u201cSo the average rate should creep a little bit lower before the end of the year.<\/p>\n
\u201cBut the 3.59pc average rate really is just that \u2014 an average,\u201d Mr Cassidy.<\/p>\n
He said there are 10 lenders in the Irish mortgage market at present and there is a wide variation in rates across them all.<\/p>\n
And different lenders offer different cashback deals and incentives, which also need to be taken into account.<\/p>\n
\u201cFor example, a variable rate as low as 3.29pc is available right now for a standard first-time buyer with Avant Money\u2019s new tracker-like mortgage product.<\/p>\n
\u201cBut it\u2019s 4.15pc with AIB and 4.70pc with PTSB \u2013 it\u2019s a big difference.<\/p>\n
He said it was the same situation for fixed rates.<\/p>\n
“So I\u2019d really encourage consumers to compare the market and shop around when applying for a mortgage, either as a first-time buyer or switcher.\u201d<\/p>\n
Interest rates on mortgages offered by AIB, EBS and Haven were reduced last month<\/p>\n
The move will see non-green rates cut by up to 0.65 percentage points.<\/p>\n
And a number of credit unions have come together to offer a standard mortgage product that will give new buyers and switchers an alternative to the banks.<\/p>\n
The new product, Credit Union Mortgage, will mean there will be a standardised national mortgage, with a set interest rate.<\/p>\n
The new single mortgage product is launching with a variable interest rate of a competitive 3.85pc.<\/p>\n
The rate will be capped at 4.4pc for the first three years.<\/p>\n
Permanent TSB dropped both its mortgage and deposit interest rates, following the recent series of reductions by the European Central Bank.<\/p>\n","protected":false},"excerpt":{"rendered":"The average rate is now 3.59pc, roughly in line with the previous month, according to new data from…\n","protected":false},"author":2,"featured_media":177948,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[73],"tags":[79,2107,18,19,17,2108],"class_list":{"0":"post-177947","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business","8":"tag-business","9":"tag-charlie-weston","10":"tag-eire","11":"tag-ie","12":"tag-ireland","13":"tag-money-experts"},"share_on_mastodon":{"url":"https:\/\/pubeurope.com\/@ie\/115540816417955390","error":""},"_links":{"self":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/177947","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/comments?post=177947"}],"version-history":[{"count":0,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/posts\/177947\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media\/177948"}],"wp:attachment":[{"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/media?parent=177947"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/categories?post=177947"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.europesays.com\/ie\/wp-json\/wp\/v2\/tags?post=177947"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}