AIB and ICS Mortgages have both announced cuts to some of their mortgage interest rates after the European Central Bank recently announced a second reduction this year in its key lending rates.
AIB is reducing by 0.25% its five-year Green fixed mortgage rate, which is available for homes with a BER rating between A1 and B3.
It is also cutting its four-year fixed mortgage rate for all customers borrowing €250,000 or more.
AIB said the five-year Green rate will be available from 3.2%, while the four-year rate will be available from 3.7%.
This is the third time AIB has reduced mortgage rates this year and it said the new rates are available from tomorrow. Both new and existing customers can avail of them.
The lender said it has also extended its Approval in Principle period from six to 12 months, giving more time for customers to find and buy their new home.
AIB's Managing Director, Retail Banking, Geraldine Casey said it is important that AIB offers a wide variety of choice, value and convenience for customers seeking to buy their new home as can be seen with this latest announcement of rate reductions.
"We are pleased to announce a reduction in our five-year Green fixed mortgage rate, which aligns with our strategy to further green our business as we support customers to make more sustainable choices," Ms Casey said.
"And we recognise that many home buyers may look to borrow more than €250,000 to secure their desired home. This mortgage offering is especially popular with customers in areas where there may be fewer homes available with higher energy efficiency ratings," she added.
Meanwhile, ICS Mortgages said it was cutting its owner-occupier fixed rate mortgage products from October 1.
ICS It said its owner-occupier three-year and five-year fixed rates will start from 4.5% from next month.
The lender said the cuts to its new business fixed rates are designed to offer more affordable options for homeowners.
Its existing fixed rate customers will be unaffected, it added.
Ray McMahon, chief commercial officer at ICS, said the lender was pleased to introduce these lower rates as part of its commitment to making home ownership more accessible and more affordable for customers.
Today's announcement of a fixed rate cut is in addition to variable rate cuts announced earlier this month on its owner occupier and buy-to-let products.
