Hi all,
I'm in the process of buying a house. I am taking out a mortgage with AIB as it seems Brendan highly rates them! I will be in the 50 to 80% LTV band, so have the choice of variable at 3.95% or 5 year fixed green at 3.55%. I saw another thread here posted by RedOnion which explained that with AIB you dont incurr any charge if you make overpayments on a fixed mortgage as the newer fixed rates are lower than the existing ones. Currently AIB's 5 year fixed green is their lowest rate.
My situation is this. I have another property I will be selling when I get this house and my intention is to put the proceeds in to the mortgage. My intention is to do this sooner rather than later. Obviously I would prefer the lower rate. However am I at risk that AIB could reduce their fixed rates further and I would then incurr a penalty to pay a lump sum off the principle? Would you guys recommend I go with the fixed or variable rate given my circumstance? Thanks!
I'm in the process of buying a house. I am taking out a mortgage with AIB as it seems Brendan highly rates them! I will be in the 50 to 80% LTV band, so have the choice of variable at 3.95% or 5 year fixed green at 3.55%. I saw another thread here posted by RedOnion which explained that with AIB you dont incurr any charge if you make overpayments on a fixed mortgage as the newer fixed rates are lower than the existing ones. Currently AIB's 5 year fixed green is their lowest rate.
My situation is this. I have another property I will be selling when I get this house and my intention is to put the proceeds in to the mortgage. My intention is to do this sooner rather than later. Obviously I would prefer the lower rate. However am I at risk that AIB could reduce their fixed rates further and I would then incurr a penalty to pay a lump sum off the principle? Would you guys recommend I go with the fixed or variable rate given my circumstance? Thanks!