Taking a new Fixed Rate of 4 years with BOI

How long do you have left on your mortgage?

I'm currently in the same situation as you OP, former KBC customer on the 3.3% variable rate. Just under 21 years left on the mortgage. We are going to move to the 3.1% fixed rate for 4 years and hope the geopolitical and economic situation stabilises over that time period. Repayments are affordable for us at 3.1% so we're happy just to get some certainty for a fixed time. Was also advised by our mortgage broker to make this move.

This is what I would do to be honest. I'm a BOI customer, ex-kbc too but still on a tracker. I'd fix now if they're offering 3.1% for 4 years and see where we are then.

I don't see anything cheaper than 3.1% with avant tbh.

Yes, but the cashback will typically cover that fee, and that seems especially likely if you've still got 28 years left on the mortgage, as presumably much of the principal balance remains?

Another thing to consider, do you make/have you interest in making overpayments on your mortgage in the foreseeable? If so, then BOI fixed rates are very poor on that front (only allowed 10% of the monthly repayment without penalty, and it has to be done monthly rather than as lump sums the last I checked), whereas variable would allow you to overpay to your heart's content. Equally other lenders' fixed rate offerings might provide a happy medium if BOI is too limiting, but you don't want the full flexibility and associated volatility of variable.

The 4-year fixed at 3.1% (APR 3.8%) looks like the most worthwhile option if you want stability and slightly lower interest. Shorter fixes barely improve on your current 3.3% variable rate.

It’s mainly about certainty versus flexibility, locking in protects against rises, but you’d miss out if rates fall. Given the current economic outlook, a 4-year fix could make sense.