New figures from the Central Bank of Ireland show that Irish mortgage rised sharply in January. At 2.93% in January, the average interest rate on a new mortgage in Ireland rose from 2.69% in December. This leaves rates at their highest level since October 2019.

Ireland continues to have among the cheapest mortgage rates in the Eurozone, for now at least, with only France and Malta recording lower rates than Ireland in January.

The Eurozone average rose to 3.16%, well over double the rate compared to this time last year.

Commenting on the news, Head of Communications at bonkers.ie, Daragh Cassidy said, “The ECB is almost guaranteed to hike rates by another 0.50 percentage points next week and by at least another 0.25 percentage points before the end of this summer. This will take the main lending rate to 3.75%, though it looks increasingly likely that it will go even higher."

He added, "This means yet more rate increases from all the lenders are guaranteed over the coming months."

Source: www.businessworld.ie