On AIB variable (LTV 50%<80%) rate 3.3%, to fix or remain on LTV ?

Skyfall

Registered User
Messages
20
We have a small AIB mortgage remaining of approx €50k, currently on LTV 3.3% interest, soon to drop to 2.95%
Is it worth considering fixing at the new 5 year 3.3% rate, (which will almost see out the mortgage) or sticking with the variable ?
Views / comments welcome, Thanks
 
With a small mortgage, there is a reasonable chance that you might feel like paying it off early.

There probably wouldn't be any break fee for doing so, but there really is no need to make life complicated.

Here is the amortisation schedule

upload_2017-9-20_11-37-32.png


Let's say that at the beginning of year 3 variable rates rise to 4%. It will cost you an extra 0.7% of €31,000 or €200 in year 3.

So it doesn't matter much either way. So I would opt for flexibility.

Brendan
 
Back
Top