Mortgage Banks are now offering lower interest, longer fixed rate mortgages for customers.
KBC have announced that they are issuing a new market leading 10 year fixed mortgage which would provide better value and certainty for customers in the long term.
Unfortunately it may not be of great benefit to First Time Buyers as the loan to value ratio must be less than 60% to fix interest rates at 2.95% for 10 years.
New rates come into effect on October 2nd 2017 and will be available to both existing and new mortgage customers. Customers switching to KBC will benefit from a €3,000 contribution towards their costs, so in effect the conveyancing costs on a transfer of mortgage should cost nothing.
This contribution is open to any customer who draws down their mortgage by the end of 2017. AIB also recently announced a series of rate cuts.
The environment for lower interest rates and longer fixed rate mortgages is certainly improving, but unfortunately First Time Buyers may still find the property market difficult.
John Gaynor & Co Solicitors LLP
42-46 Thomas Street