Mortgage rates drop but Ireland remains amongst the most expensive in Europe

Trevor Grant, chairperson of the Association of Irish Mortgage Advisors, said Ireland remains expensive for mortgages despite the recent falls, but said there may be hope of average rates dropping below 3%. File picture: iStock

The average interest rate on new Irish mortgage loans remains amongst the highest in Europe despite a drop of 52 basis points in the past year.

New data from the Central Bank shows the average mortgage rate now stands at 3.72%, down from 3.77% in March. The rate in Ireland exceeds the euro area average by 38 basis points with Ireland climbing one place to fifth in the euro area ahead of Germany, the Netherlands, Greece and Luxembourg.