Available from 11th September 2019, the new, simplified rate structure is outlined in the table below, with reductions and additions highlighted in yellow:
Ulster Bank Simplifies Mortgage Offerings for all Customers, Reduces Five-Year Fixed Rate and Highlights New Rates for Those Seeking Exceptions*
- Five-year fixed rate mortgage reduced to 2.6% up to 90% LTV for first time buyers (80% LTV for all other customers)
- Minimum loan amount for high-value five-year rate of 2.5% reduced to €300,000
- New mortgage rates introduced for customers seeking exceptions across all available terms
- Ulster Bank has the lowest four and seven-year fixed rates**
- On top of the new rates, Ulster Bank continues to offer fixed rates as low as 2.3%, €1,500 cash towards legal fees and free valuations on all new mortgages.
6th September 2019: Ulster Bank has overhauled its mortgage offering in order to make it simpler and clearer for customers, including those seeking exceptions to the Central Bank of Ireland’s macro-prudential lending rules on income limits and deposits.
In addition to fixed rates as low as 2.3%, the bank has reduced and simplified its five-year fixed rate from 2.8-2.99%, depending on LTV and other factors, to 2.6% across all LTV bands up to 90% LTV for first time buyers (80% LTV all other customers). The bank has also cut the minimum loan amount for its competitive high-value five-year rate of 2.5% from €500,000 to €300,000, opening up this mortgage product to a wider range of customers.
For those customers seeking exceptions to the Central Bank of Ireland’s lending rules* and switchers whose LTV is above 80%, Ulster Bank has introduced a new range of fixed rates, which are lower than before. They range from 2.45% for the two-year fixed rate to 3.14% for the seven-year fixed rate. These new rates will apply across all LTV bands.
Notes to the editor
*Exceptions:
A customer is seeking an exception if they are:
- A First Time Buyer (FTB) seeking to borrow above 90% LTV and / or 3.5 time Loan to Income;
- A Second or Subsequent Buyer (SSB) seeking to borrow above 80% LTV and / or 3.5 times Loan to Income.
SSB includes anyone seeking a new mortgage to move home, or a switcher from another lender who is borrowing additional money over and above their existing mortgage.
** Source - Bonkers.ie as at 06/09/2019
Representative examples:
A customer with a €200,000 mortgage over 20 years on a Standard Variable Rate of 4.3% could save €174.23 per month or €2090.76 per year for five years by switching to Ulster Bank’s new five-year fixed rate of 2.6%.
A customer with a €200,000 mortgage over 20 years on a Standard Variable Rate of 4.3% could save €203.38 per month or €2440.56 per year for two years by switching to Ulster Bank’s two-year fixed rate of 2.3%.
In addition to these rates, Ulster Bank is also offering customers:
· €1,500 contribution to legal fees on applications submitted by 31st December 2019 (for new mortgages with a minimum mortgage amount of €40,000.)
· Free valuations on new mortgages
· Same rates available to new and existing customers
· 10% annual overpayment allowance on fixed rate products, giving customers both certainty of repayment and flexibility to make overpayments to save interest
· Secure bespoke video technology so customers can talk to us at their convenience
· Mobile Mortgage Managers available to meet outside of work hours and in a place convenient to customers. For more information on how to contact Ulster Bank’s Mobile Mortgage Managers, please visit:
https://digital.ulsterbank.ie/personal/mortgages/talk-to-us/mobile-mortgage-team.html
· Rates available through all channels, in branches, online, through our mobile mortgage managers, via telephone and via brokers
Additionally, for first time buyers:
· €25,000 Life Insurance cover for first time buyers in the first year of the mortgage (provided by Irish Life)
· 50% off Home Insurance for first time buyers until 31st December 2019 in the first year of the mortgage. Subject to minimum premiums and underwriting criteria by Aviva.