Existing Variable Rate Mortgage Query

whodafunk

Hi All,

I am coming close (01/09/25) to the end of my variable rate term which I had fixed at 2.3% which I know is extremely low. I phoned my provider (BOI) and lowest rate they could offer me was 3.45% (between 1 to 3 year fixed). This will result in increased mortgage monthly repayments of between €150-€200 which was a little alarming when I heard at first! Just wondering if anybody has been in similar position recently and can offer any advice? Would it be worth consulting a financial advisor/look to move to another provider?

Thank you.

ELM327

3.45% is very good in the current environment. I fixed recently (coming off 1.99%) at 3.6% and even at that it was a green rate.

Trampas

What rate did you expect it to be? Ecb is 2.25% currently and might get a cut tomorrow. A margin of 1.2%

That’s nothing crazy

whodafunk

https://www.boards.ie/discussion/comment/123514421#Comment_123514421

Thanks for your response. Out of interest was that a big increase in monthly mortgage repayments?

SteM

Not much help I know but I don't see anything much better in the market than 3.45% fixed tbh but things may change slightly in the 3 months before your current rate expires.

whodafunk

Thanks for all the replies. I wasn't sure what rate I was expecting to be honest. It's just with everything going up as I'm sure everybody unfortunately has witnessed also, it just means a lot less disposable income available per month and a bit more pressure on the finances to be honest.

SteM

You're kind of lucky you're only coming off your variable rate now to be honest.

Rocket_GD

I wish I had a rate of 3.45%, we were locked in at a fixed rate, thankfully for just a year, of 5.5% in order to avail of cashback.

OP that's not a bad rate at all in this day and age.

whodafunk

thanks everybody for all of the replies - much appreciated.

ELM327

https://www.boards.ie/discussion/comment/123514447#Comment_123514447

Approx 150 increase, up to 965 or so now

New Scottman

Just move to a tracker mortgage. My brother has one. His rate is ECB + 1%, so just 3.15% all-in.

Geuze

https://www.boards.ie/discussion/comment/123535600#Comment_123535600

The only bank to offer tracker mortgages is Avant.

That would require the OP to move lender, and involve legal fees of maybe 1,500.

The Avant tracker mortgage is called Flex, and it is Euribor + 0.90% for LTV below 80%.

The current rate is 2.08% +0.90% = 2.98%. It is a good rate.

SteM

Yeah, just be build a time machine and move to a tracker.