What You Need to Know about AIB’s New Mortgage Interest Rates

If you’re thinking of getting a mortgage with AIB, you’ll want to know all about our new mortgage interest rates. From the 18th of September 2017, we introduced new fixed rates , on the 1st November 2017 our new variable and SVR rates were launched. We talked to AIB Mortgage Advisor, Michelle, to get the lowdown on the new rates and what they mean for prospective AIB customers.

What are the new rates?

Here’s a summary of the new rates:

• New reduced LTV variable rates starting at 2.75%

• Standard Variable Rate reduced to 3.15%

• Fixed mortgage rates reduced by between 0.3% and 0.5%

• New 7-year fixed rate of 3.50%

“For new customers, it means that there’s more choice,” Michelle explains. “We now have a 7-year fixed rate, so they can lock in for a longer period, whereas previously they could only choose up to a 5-year term. And they have that comfort of knowing that the repayments are not going to change.”

Which mortgage interest rate is right for me?

“It's hard to say definitively, because it’s a personal choice,” Michelle explains. “But your AIB Mortgage Advisor will be happy to explain the benefits of fixed and variable rates to you. A lot of First Time Buyers might be more inclined to go with a fixed rate until they get used to making that repayment. But there are other customers who might prefer our variable rate, so that they have the flexibility to make additional payments to the mortgage. But it is a personal choice.”

How much savings can I make?

The new rates will allow you to make significant savings over the course of your mortgage. Of course, the exact amount will differ depending on your specific rate and Loan to Value, but Michelle gave us a simple example to demonstrate the kind of savings you can make in the long term.

“Using the example of someone with greater than 80% Loan to Value and a mortgage of €200,000, over 20 years on the old variable rate of 3.5% their repayment would have been €1,159.16,” she explains, “and on the new rate of 3.15% it’s €1,123.69. The customer in this example would be making a saving of €35.47 a month or approximately €8,400 over the lifetime of their mortgage.”

How can I find out more about AIB’s mortgage offerings?

The best way to find out anything you need to know about AIB mortgages is to make an appointment to speak to one of our Mortgage Advisors. “All our customers have one point of contact,” Michelle says. “From the time we receive their documents in here, they have a dedicated mortgage advisor who’s going to deal with their application all the way through. We will take time to talk to our customers to ensure they understand the journey before they start the whole process. It can be a long journey and the more they know up front about the journey, the easier and simpler it will be for them.”

Are You Interested in Applying for a Mortgage?

Our expert AIB Mortgage Advisors can help you start the process today.Request a call backor call 1890 24 24 25 to talk to an advisor today. Alternativity you canbook an appointmentin a local branch. Find out more about Mortgages from AIB by visiting our website.

Allied Irish Banks, p.l.c. is an authorised agent and servicer of AIB Mortgage Bank in relation to origination and servicing of mortgage loans and mortgages. AIB Mortgage Bank is regulated by the Central Bank of Ireland.

Allied Irish Banks, p.l.c. is regulated by the Central Bank of Ireland. Copyright Allied Irish Banks, p.l.c. 1995.