First Active launches new mortgage deal

First Active has launched a new mortgage package to take advantage of the Government’s plan to axe stamp duty for first-time buyers.

This will mean that first-time buyers can now buy existing second-hand properties and move in to their new home straight away, instead of waiting for up to a year for newly-built developments to be completed.

The package includes:

A range of tracker rates, from ECB rate +0.75% (APR 4.9%) and up

Fixed rates for between one to five years (about APR 5.4%)

Interest-only repayments for up to two years

Three months free home and repayment insurance

€100 cash back for customers who buy home and repayment insurance, and

Free property valuation worth €150.

Other repayment options include lump sum payments, additional payments to reduce the loan term, and payment holidays.

Joe Heneghan, head of marketing at First Active, said the removal of stamp duty for first-time buyers would open up the second-hand property market.

“With the removal of Stamp Duty there will be no artificial house price cap at the old Stamp Suty threshold of €317,500. First-time buyers will be able to save on Stamp Duty costs of €10,000 and more if they want to buy a previously owned property,” said Mr Heneghan.

The mortgage repayments for €320,000 over 40 years for customers choosing the five-year fixed rate option are €1,639 per month.

Article courtesy of the Evening Echo newspaper.