Mortgage interest rate lows set to continue

THE cost of an average mortgage has fallen by around €560 since October following the European Central Bank’s decision to cut its main interest rate by 0.25% to a record low of 1%.

The latest reduction, the seventh in seven months, has seen ECB rates fall by a total of 3.25%, resulting in massive monthly savings for those on tracker and variable mortgages.

In further good news for homeowners, the ECB predicted interest rates will remain low for the foreseeable future.