With the European Central bank expected to announce a further reduction in mortgage interest rates today, a Monaghan financial adviser says we have options to consider. Harry Dwyer, managing director of Moneycare, Monaghan, says tracker rate mortgage-holders will benefit from today's expected 0.25 per cent reduction. This follows a similar decrease in June and, with an operational framework adjustment of 3 per cent, tracker customers will have benefit to a total 5.5 per cent reduction on their deals.
In his personal view, Mr Dwyer says this good news does not necessarily mean fixed rate mortgage-holders should scramble to go tracker. Some of the fixed mortgage deals out there are still better than even the reduced rate trackers he said:
"You could still get a four-year fixed at about 3.45 per cent," Mr Dwyer told the Joe Finnegan Show, "The tracker rate overall is sitting at around 5 per cent and that .75 per cent reduction will bring the average tracker rate down to maybe 4 - 4.25 per cent. So," he continued, "if you've only 10 years left in your actual mortgage policy my view on it is if you could get a good fixed rate of 3.45 per cent fixed for four years I might tend to look at it because I don't see huge further reductions coming down the line."
