Rate on a new mortgage hits its highest level in years - RTE Radio 1

New figures from the Central Bank of Ireland show that the average interest rate on a new mortgage has breached the 4% mark for the first time in years.

Daragh Cassidy, Head of Communications at bonkers.ie, spoke on Drivetime about how mortgage rates in Ireland compare to our European neighbours. 

• The average interest rate on a new mortgage jumped from 3.8% in May to over 4% in June.
• This is the first time in years that we've breached the 4% mark and it is the second biggest rate hike in the Eurozone.
• Mortgage interest rates vary across Europe. Rates are still under 2% in Malta but are 6% or higher in some of the Baltic countries like Latvia and Lithuania. Ireland is in the middle of the table. 
• The average rate here is 4.04% which isn’t bad compared to other European countries, however, it is still having a negative effect on Irish mortgage applicants and holders. 
• The impact of the rate hikes from the European Central Bank is now well and truly being felt by consumers and it may raise rates even further in the future.
• Consumers may not see rates fall until early 2025 and even then it looks like higher interest rates are here for the foreseeable future.
• Consumers need to prepare and budget for the rate increases that may come further down the line. 

Get your mortgage through bonkers.ie

Find the best mortgage interest rates and incentives across all the main lenders in Ireland in just seconds with our mortgage broker service.

Our mortgage broker team will be handy to help you with every step of the way through your mortgage journey - with no extra cost to you as a customer! 

Don’t forget, lenders also require that you have home insurance and mortgage protection insurance in place before drawing down your mortgage, both of which you can also get right here on bonkers.ie.

We can also find the best rates for energy, broadband, and other insurance and banking products and apply straight through bonkers.ie. 

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