Avant Money have just announced an increase to their 5, 7 & 10-year fixed rates for new borrowers of between 0.20% and 0.30%. Their popular 7-year fixed rate will now change from 1.95% to 2.25% and their 10-year fixed rate will change from 2.10% to 2.40% for loan to values less than 60%.
Head of mortgages at Avant Money, Brian Lande said there was upward pressure on interest rates, but the lender would continue to offer rates from 1.95% which is reflected in their 3 & 4-year fixed rates.
President of the European Central Bank (ECB) Christine Lagarde signalled that multiple rate hikes could be coming.
She said, ‘If the situation continues as predicated, there is a strong likelihood rates will be hiked before the end of the year. How much and how many times will be data dependent.’
Sources said ECB policymakers are keen to end their bond purchase scheme at the earliest possible moment.
As well as an early rise in rates, ECB sources are predicting as many as three hikes this year. In the US they are already into their rate hiking cycle with a 0.50% increase this week.
If the base rate goes up by 0.25% it will automatically mean borrowers with tracker loans will see an instant rise in their repayments.
With over 275 different rate products on offer from 10 different lenders on the Irish market, speaking to an experienced mortgage broker could be the wisest decision you make this year. Access to the lowest mortgage interest rates is only available through the broker channel so ensure you speak to a mortgage expert before making that all important mortgage switch.
At Biograph Wealth Advisors, we have a team of experienced mortgage advisors ready to guide you through your switching journey.
Visit www.cppc.ie to access their money tools to compare your options using their 100% impartial calculator to see how much you can save.