Media coverage around mortgages can sometimes add to the stress people feel around this type of financial loan.
In recent months, there has been a lot in the media about potential future mortgage rate increases based on global inflation pressures and Eurozone base rates.
As you can expect, individuals getting ready to apply for mortgages might be a bit worried about this news.
The good news is that lenders in Ireland are always looking to create the best possible mortgage products for homeowners.
One of the most recent changes we’ve seen from one of Ireland’s lenders is the new deals Finance Ireland is bringing to the market.
Three new deals from Finance Ireland
In Ireland there are more than 250 mortgage products available.
Finance Ireland is one of the long-standing lenders in Ireland, and many homeowners have their mortgage through Finance Ireland.
Finance Ireland are bringing three new offers to the market:
- Rate reductions to 10, 15 and 20 year fixed rates.
- The launch of a new 25 year fixed rate mortgage.
- The introduction of a contribution worth €1,500 towards professional fees (e.g. conveyancing) for new customers who are switching to a long-term fixed rate mortgage.
- Long term rate reductions from Finance Ireland
These rates are effective from Monday, 6th December.
10 Year Fixed Rates
|LTV||Old Rate||New Rate||Change|
|50% or less||2.40%||2.40%||–|
|60% or less||2.40%||2.40%||–|
|70% or less||2.55%||2.55%||–|
|80% or less||2.70%||2.65%||– 5 bps|
|90% or less||2.85%||2.85%||–|
15 Year Fixed Rates
|50% or less||2.50%||2.40%||– 10 bps|
|60% or less||2.50%||2.40%||– 10 bps|
|70% or less||2.65%||2.55%||– 10 bps|
|80% or less||2.80%||2.65%||– 15 bps|
|90% or less||2.95%||2.85%||– 10 bps|
20 Year Fixed Rates
|50% or less||2.60%||2.50%||– 10 bps|
|60% or less||2.60%||2.50%||– 10 bps|
|70% or less||2.75%||2.65%||– 10 bps|
|80% or less||2.90%||2.75%||– 15 bps|
|90% or less||2.99%||2.95%||– 4 bps|
- The launch of a new 25 year fixed rate mortgage
25 Year Fixed Rates
|50% or less||2.65%|
|60% or less||2.65%|
|70% or less||2.80%|
|80% or less||2.90%|
|90% or less||2.99%|
- The introduction of a contribution worth €1,500 towards professional fees
As we’ve covered in some of our previous blog posts, there are various fees that go with applying for a mortgage.
We look at them in-depth in a blog post called “ what a mortgage broker should tell you about your mortgage fees.”
One of the fees that you will need to pay will go towards the professional fees that handle the conveyancing aspect of your mortgage. In other words, the legal aspect.
Finance Ireland’s third offer is a contribution to these fees for individuals who want to switch their mortgage.
In their information pack about these new offers, Finance Ireland says “Customers switching their mortgage from another lender to a Finance Ireland long term fixed rate can avail of a €1,500 contribution towards their professional fees.”
It is important to note that this contribution will be paid out post-completion of mortgage applications that are received between the 4th of January and the 31st of March 2022.
There are a few caveats to take into account:
- Applies to straight-switcher cases only – no additional borrowings.
- Applies to customers seeking a 10, 15, 20 or 25 year fixed rate only – 3 and 5 year fixed rates are excluded.
- Applies to new business only – existing pipeline is excluded. Full application must be submitted between 4th January and 31st March 2022 and complete within the validity period of the first offer letter issued.
- PDH loans only – buy-to-let cases are excluded.
This offer provides real help to mortgage switchers who are looking to move their mortgage from their existing lender to gain long-term certainty. It’s a real bonus that they can also avail of a significant contribution to their professional fees by switching to Finance Ireland.
As a mortgage broker in Dublin, we have worked with Finance Ireland for a number of years on behalf of our clients.
Equally, it is important to highlight that we work with 9 lenders in Ireland. Our commitment is always to find which mortgage is ideal and the right one for our clients.
Contact us today to discuss how the Finance Ireland offer might suit you and your needs, or any other mortgage questions you may have.