IIB Bank predicts tough time for mortgage market

IIB bank is forecasting a tough time for the Irish mortgage market in the coming months.

In its latest market survey, the bank says demand for mortgages is continuing to fall due to tighter credit conditions.

The European Central Bank is also expected to raise interest rates next week in an effort to control inflation.

IIB Bank chief economist Austin Hughes says the credit crunch is hitting first-time buyers and investors especially hard.