The ECB have increased interest rates by 0.25%. This increases the ECB rate to 1.25%. This will increase mortgage payments by €15 per €100,000 monthly. The increase is the first of several expected over the next 12 months and will mean higher mortgage costs for roughly three-quarters of Irish homeowners.
Irish Banks are expected to move swiftly to increase rates by a similar amount for holders of tracker mortgages and, possibly by even more for holders of variable rate mortgages.