Mortgage - low fee for breaking fixed rate

It's a fixed rate so it won't change for 5 years. Once the 5 years are up, they'll send you out information regarding their fixed and variable rates at that time. You need a copy of your BER cert to return to them, needs to be dated within the last 10 years.

1. If you check daft for prices of houses around you you'll get an idea of the current value, or call an estate agent & say you are thinking of selling & they will value it for you. If you change LTV you may need to pay for a bank valuation anyway. There's not much else to do except check out the rates available & decide which suite you best.
2. If you are not overpaying by more than allowed I would keep the longer term & continue overpaying. It gives you the flexibility to stop overpaying if you need to for a while. If you are able to overpay more than they allow then you would be better reducing the term if they let you, some banks try to keep you on the same term & reduce your payment. If you reduce your term you will be paying more back quicker without overpaying & leaves you free to overpay on top of that again so you would be able to pay more back without going over the banks overpayment limits.

The current 0% is very unusual. A slowdown will possibly cap rises and you may not see rates go above 2%. But personally I can't see rates ever dropping to zero again once they move up.

A small amount of inflation and positive interest rates are actually good for growing economies.

Contact them. There may be little or no break fee and then you can break and refix.

If you have b3 or higher BER, their green rate is their best rate although you may lose out on cash back.

Nothing suspicious. That's how it works and a lot of people are switching.

Tracker rates change immediately after ECB announces a change (July 20th)

Variable rates can have a delay. Very few people choose variable so the pr value of holding off an increase for a few weeks can be good

Fixed rates can change anytime. A lot of European banks have changed a couple of times and Ireland is now one of the lowest rates for 10+ years.

I suspect AIB will wait until August to change rates.

You should try apply to Avant. repeatedly asking for the same information & taking 1-2 weeks in between each request to respond. I applied for a top up & also separately a 30k loan & included all this in the original application & the reasons for them. They asked what the loan was for & its term & repayments, then I was accused of applying for a loan without notifying them, it was the loan they queried the week before!.

They have asked 3 times what the top up was requested for, leaving 1-2 weeks in between each time. last week they came back & asked how we were planning on financing our attic conversion. That was the 30k loan that was in our original application & had been separately explained at least twice in the whole process.

With all their messing around we are now not going to be able to draw down before their rates go up so its now going to cost us thousands more in interest. The broker told us on the 20th of May to organise the valuation because Avant would approve our mortgage the following week. We first applied on the 13th April

Rates are lower now than any time in centuries.

They won't be coming down.

Who is offering 25 or 30 year fixed rates? I cannot see it making any financial sense offering rates of that length to the lender or the borrower.

I did but where are you seeing 25 or 30 year fixed rates from Avant?

I see upto 10 years which seems to be the norm on offer here:

It makes perfect sense.

Markets are awash with money. Pension funds need a diverse mix so are willing to take a small margin on a near guaranteed positive return with virtually no risk.

Avant are part of bank inter in Spain and also have huge long term deposits on their books.

For the borrower its make perfect sense especially as avant have added some positive terms and conditions - you can pay up to 10% extra off every year without penalty and you also won't have a break fee if you move house and take a new mortgage out with them. With rates unlikely to be this low and most likely going to average 2% in the medium term (ECB has stated this) it gives you certainty. Each 100k will cost €418 per month over 30 years, so a 400k mortgage is €1670/month and it will never increase no matter where interest rates go.

Taking the 400k - over 30 years at 2.95% (90%ltv) this costs €203k in interest.

Same 400k and taking expected interest rate increases and using an average bank rate of 4.5%, that same 400k would cost €330k in interest over 30 years. That's €127,000 extra and many people will say that average mortgage rates over the next 20-30 years will be 4%-5%.

Is on their page. You can over pay the mortgage by 10% of the balance each year.

They have a nice product. I gave up on the application process though. I don't know if it was the brokers fault or Avants but it was way more complicated than getting my mortgage 14 years ago or when I switched to UB 6 years ago.

So I fixed as low as possible for as long as possible with my current lender (UB) which took one phone call and a couple of signatures.

I would genuinely stake my life on it that we'll see 10 .25 rises before we'll see one drop.

If we see a rate drop in the next 5 years it is only because the Eurozone economy is in such a crisis that it is fighting for survival.

Even if we had 10 rises interest rates would be negative in real terms and near multi century lows.

If you can fix for 10 , 20, 30 years do so. Work out your sums carefully, every scenario.

I've fixed for 10, hope to have it done by then.

The tracker was a beaut for the time you had it. It would be the opposite in the future.

You have a plan and it makes sense, that's the biggest thing.

Yea did the aib one earlier this year. Took 6 months from sept to March for simple switch. Could not believe the delays and repeating requests for same information.

Yes we did need both of those. House is a relatively new build so had the BER and paid had to get house valued through AIB which cost something like €150/€200.

Call them every week and see what the breakage fee is.

Kbc told me that there is a breakage fee to leave them, I asked them much it was. They got back to me with a quote of 0 euro

I was on the 5 year fixed at 3%, due about 3.2k cash back in 1.5 years time.

By moving to Avant and getting the 1.95% (or maybe 2.25% depending) rate for 7 years fixed, I'll be saving about 200e pm, so with cashback and solicitor fees,I'll be net zero after two years and then 5 years of savings; 200e pm for 5 years is about 12k, so you can really save money if you get a good rate! The saving will be more if the alternative is a 3.3% rate.

If you can get a better fixed rate now with a different bank then I'd go for that, once the long term savings will more than cover your cashback and solicitor fees.

Don't get lured in by the cashback,it's great to get the 2% up front and have been happy with that,but with rates only going up at the moment, fixing now at a really good rate could more than cover your cashback