A friend is signing contracts this week, mortgage is from AIB.
Loan Offer: 2.2% fixed for 4 yrs
Other rates:
2.45% fixed for 5 years
3.05% fixed for 7 years
3.20% fixed for 10 years
Variable = 2.95%
Given the ECB rate rise due next month, and further rises expected, and the rise in LT bond yields at the moment, the friend asks me is it better to fix for longer?
Before I reply to them, I thought I would ask here.
The ECB will increase the main refinancing rate from 0.00% to 0.25% next month, and then might add another 0.50% in Sep, to make it 0.75%