Brendan Burgess
Founder
- Messages
- 52,405
It was very simple for a few weeks - The Best Buy was to take out an EBS mortgage and collect the 2% cash back and then switch if they did not keep their rates competitive.
But now BoI has dropped the clause they had reserving the right to claw back the 2% if the borrower moved within 5 years.
One thing is even clearer now - Do not opt for a fixed mortgage rate, unless you are unable to switch lenders.
If you fix, you will not be able to switch until the fixed rate period is up without paying a penalty. So it might stop you from availing of deals from other lenders.
BoI's variable rates are too dear - so EBS beats them every time.
While BoI's fixed rates are lower than EBS's, you should not fix, so that rules BoI out as well.
In the unlikely event that EBS rejects your mortgage for the amount you want and BoI offers you the mortgage, go for BoI but fix for one year only. Hopefully at the end of the year, you will be able to switch again.
If permanent tsb drops the claw back, their 2% cash back with the 0.5% discount for the first year might be the best deal.
Brendan
But now BoI has dropped the clause they had reserving the right to claw back the 2% if the borrower moved within 5 years.
One thing is even clearer now - Do not opt for a fixed mortgage rate, unless you are unable to switch lenders.
If you fix, you will not be able to switch until the fixed rate period is up without paying a penalty. So it might stop you from availing of deals from other lenders.
BoI's variable rates are too dear - so EBS beats them every time.
While BoI's fixed rates are lower than EBS's, you should not fix, so that rules BoI out as well.
In the unlikely event that EBS rejects your mortgage for the amount you want and BoI offers you the mortgage, go for BoI but fix for one year only. Hopefully at the end of the year, you will be able to switch again.
If permanent tsb drops the claw back, their 2% cash back with the 0.5% discount for the first year might be the best deal.
Brendan