Advice needed on choosing interest rate

My 1st year special fixed rate will be ceased on September.

BOI has offered the following interest rate options:

Variable rate: 3.35%
2Ys fixed: 3.75%
3Ys fixed: 4.2%
5Ys fixed: 5%

I really would like to stick with fixed rate as BOI raised the variable rate twice this year.

is 5 Ys fixed a good rate?

any advices would be appreciated.

You could get a 4.5% 5 year fixed rate with KBC mortgages if your loan to value is less than 80%, they will also contribute €1000 towards your legal fees.

If you want certainty of payments and will not be moving your mortgage in the next 5 years then fix for as long as possible.

Remember on a fixed rate you cannot vary the terms of the repayment without penalty.

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If I was sure I wouldn't want to move house in the interim then I'd be looking at a split mortgage of 50% fixed for maybe 5 years and 50% variable. I think AIB offer split mortgages.

I take it,given the mortgage is only a year old,that you were not previously on a tracker.

SVR rates are the only show in town that allows banks to increase their profit margin,money will continue to be very expensive for Irish banks to borrow,meaning SVR customers will be getting an awful kicking in rate hikes.

If it were me and I had no plans to move anywhere in next 5 years I wold be looking at fixing for that duration.

I am no expert though,just what I would do,given these strange days we find ourselves in,I would prefer the security of knowing exactly what I was paying out each month and not be living in dread of hearing news of further rate hikes out of the blue.

Is it good rate 5%? it probably will be in a years time,but that ship will have sailed at that stage,all opinion,purely speculative.

i would fix for the 5years.. it could be worse. You could be a ptsb customer and get screwed for 2yr fixed 5.25 & 5yr fixed 5.75....

I personally would be looking for the cheapest 5 yr fix, in the near to medium future its hard to rates doing anything but going up, there's a few other threads about where people expect variable rates to go