I have commented on fixed rates before in this blog and I am going to make the same recomendation here again. Now is a good time to fix your mortgage rate for 3 to 5 years.
If you are on a variable or tracker mortgage then you have benefited from the dramatic ECB rate reduction. Last September the ECB rate was 4.25 but now stands at 1%. However it does not seem likely that there will be any further reductions any time soon. In the medium to long term it looks like rates will be on the up.
AIB has just this week put its 5 year fixed rate up from 3.69 to 3.89. This is not a huge jump and their 5 year fixed is still the best on the market but it is a sign of things to come.
In brief if you are interested in locking into a fixed rate now is the time to do it before rates rise and you miss out on the low fixed rates that are currently available.
The first thing you should do is contact your existing mortgage lender to see what fixed rate options they have available. Then you should check with a reputable mortgage broker like MortgageLine, who can search the market, to see if it is worthwhile switching your mortgage.
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