firstbuyer
Registered User
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- 1
Hi,
I am in the process of taking out a first time buyer mortgage with BOI.
I know you can't predict the future but on the basis of reading a number of the other forums there appears to be a general consensus that both variable and fixed mortgage rates offered by Irish Banks are likely to drop (1. if the current ECB rates remain stable 2. Increased competition in the market (if any) 3. The cost of raising funds for Irish banks reduces as they return to more normal operations (i.e. mortgage arrears decreasing etc.).
Initially, I was leaning towards a 5 year fixed mortgage (rate would be 3.95%) (Before seeing Burgess’s post stating not to lock into a fixed rate above 4%) but now I am considering a 1 or 2 year (3.7/3.75%) on the basis that there is a strong likelihood that within the next 12-24months a more favourable fixed rate may be offered by the bank based on the points mentioned in the second paragraph.
I know no-body has a crystal ball but would welcome your opinion on opting for a 1 or 2 year fixed based on my rationale above or if people think I have a good deal with the 5 year fixed.
I am in the process of taking out a first time buyer mortgage with BOI.
I know you can't predict the future but on the basis of reading a number of the other forums there appears to be a general consensus that both variable and fixed mortgage rates offered by Irish Banks are likely to drop (1. if the current ECB rates remain stable 2. Increased competition in the market (if any) 3. The cost of raising funds for Irish banks reduces as they return to more normal operations (i.e. mortgage arrears decreasing etc.).
Initially, I was leaning towards a 5 year fixed mortgage (rate would be 3.95%) (Before seeing Burgess’s post stating not to lock into a fixed rate above 4%) but now I am considering a 1 or 2 year (3.7/3.75%) on the basis that there is a strong likelihood that within the next 12-24months a more favourable fixed rate may be offered by the bank based on the points mentioned in the second paragraph.
I know no-body has a crystal ball but would welcome your opinion on opting for a 1 or 2 year fixed based on my rationale above or if people think I have a good deal with the 5 year fixed.