Rate guide · Ireland
Fixed or variable? One gives you certainty, the other gives you flexibility. Here's how each works in Ireland, the trade-offs, and how to decide which fits you.
Compare rates across our lender panel →Free eligibility check · 60 seconds · No registration to see your result
A fixed rate locks your interest rate — and therefore your monthly repayment — for a set term. In Ireland you'll commonly see fixed terms of 1, 2, 3, 4, 5, 7 and 10 years.
A variable rate can move up or down over time, broadly in line with the European Central Bank's policy rate and lenders' cost of funds.
Rates change frequently and differ by lender, term, loan-to-value band and your home's BER — so a number printed here would be out of date almost immediately. Rather than quote figures that mislead, we compare live rates across our lender panel at the moment you apply.
The most reliable way to see where rates sit for your profile is to run the free eligibility check, which checks current fixed and variable options across the panel for your loan-to-value and term.
There's no universal answer — it turns on your priorities and your view of where rates go next:
The deciding factor is usually the break-even between the certainty you're buying and the flexibility you're giving up. We work that through with your actual figures rather than a rule of thumb.
Whichever you choose, lenders assess affordability with a stress test — typically checking you could still afford the repayment at a rate around 2% above the rate you're applying for. A higher chosen rate can therefore reduce the maximum you can borrow.
This is one more reason the fixed-vs-variable choice isn't just about monthly cost — it can affect how much a lender will advance in the first place. We factor the stress test into every assessment.
Fixing suits you if certainty matters more than flexibility — you lock your repayment for the term and you're protected if rates rise. The trade-offs are that you won't benefit if rates fall, and breaking a fixed rate early can trigger an early-repayment charge. If budget certainty is your priority and you don't expect to overpay heavily or move soon, fixing often makes sense. We'll run the numbers both ways for your figures.
Rates move frequently and vary by lender, term, loan-to-value and your BER, so any figure quoted in an article dates quickly. The honest answer is to compare live rates across the whole panel at the point you're applying — which is exactly what our calculator and assessment do across our lender panel. We'll show you the best current options for your specific profile.
While you're inside a fixed term, switching to variable (or to another lender) can trigger an early-repayment charge, depending on how rates have moved since you fixed. Once your fixed term ends you can move freely. Many people switch lender entirely at that point to secure a better rate — we compare the market and factor in cashback and fees before recommending a move.
When a fixed term expires, your lender typically rolls you onto a default rate — often a variable rate or a new fixed offer — which may not be the best available to you. This is one of the best moments to review: you can re-fix with your lender, or switch to another lender for a better rate. We flag this and run a switcher comparison so you don't drift onto an uncompetitive rate by default.
A variable rate can move up or down over the life of the loan, broadly tracking the cost of funds and ECB policy. The upside is flexibility — you can usually overpay or pay off the mortgage without an early-repayment charge. The downside is uncertainty: your repayment can rise if rates increase. It suits people who value flexibility or expect to overpay or move.
See the best current fixed and variable options for your profile across our lender panel — free, no registration. Then talk it through with Francis.
Warning: If you do not keep up your repayments you may lose your home.
Howard Financial Services Limited T/A IWantAMortgage.ie is regulated by the Central Bank of Ireland (C430229). Member of Brokers Ireland.
Registered in Ireland, Company Registration No. 659301. Registered Office: 2 Mountain Common, Ardfield, Co. Cork. Director: Francis Howard.
© 2026 Howard Financial Services Limited. · Fees · Remuneration · Complaints procedure