Cork Today

Switching mortgage providers on the increase

Martina Hennessy from doddl.ie join Patricia

Switching your mortgage: once a daunting, paperwork-ridden nightmare, now a savvy financial move. According to the Irish Independent and Doddle.ie’s Mortgage Switching Index, the value of switcher financing in Ireland skyrocketed by 45% last year. Why? Because homeowners are waking up, smelling the financial coffee, and realising they can save thousands by shopping around. 

Martina Hennessy, Chief Executive of Doddle.ie, explained the trend on C103, revealing just how much money is being left on the table by sticking with your current lender. Spoiler alert: it’s a lot.

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Switching Isn’t Just for Utility Bills

Gone are the days when switching your mortgage felt like trying to climb Croagh Patrick in flip-flops. Banks have made it easier, faster, and far less painful. "We’ve seen switches completed in just 10 working days," says Hennessy, a huge improvement from the six-to-eight-week slog it used to take.

The incentives are also bigger than ever. Banks are rolling out cashback offers (up to 2% of your mortgage value) to cover legal fees, and digital processes mean less paperwork and fewer headaches. Think of it as the financial equivalent of ordering your groceries online instead of queuing at the supermarket.

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The Savings Are No Joke

Here’s the kicker: the gap between the lowest and highest mortgage rates in Ireland is massive. Currently, the best rates hover around 3%, while the worst can exceed 6.15%. For the average mortgage of €334,000, that difference translates into savings of €7,000 a year—or nearly €600 a month. That’s not just pocket change; that’s holiday money, school fees, or the deposit on a second-hand car.

As Hennessy puts it, “Imagine someone handing you €450 in cash every month. You’d take it, wouldn’t you?” Yet many homeowners are still reluctant to switch, clinging to old fears that the process is too complicated. Spoiler: it isn’t.

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Green Homes, Green Savings

If your home is energy-efficient, you’ve got even more reasons to switch. Many lenders now offer “green rates” for homes with strong Building Energy Ratings (BERs). Even if you’re not living in a solar-powered palace, rising property values could mean your loan-to-value ratio has improved, making you eligible for lower interest rates.

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Repeat Switchers: The MVPs of Mortgage Management

Not only can you switch your mortgage once, but you can do it multiple times. In fact, repeat switchers are Doddle.ie’s favourite clients. “It’s about reviewing your mortgage every few years,” says Hennessy. Fixed-rate periods typically last three to five years, and rolling onto a variable rate without shopping around is like leaving money on the table. Don’t do it.

What About ECB Rate Cuts?

While the European Central Bank (ECB) may cut rates this year, don’t expect it to drastically change your mortgage unless you’re on a tracker rate. Most Irish mortgages are tied to the Euribor rate, which has already adjusted for anticipated ECB cuts. So, if you’re holding out for a miracle rate drop, you might be waiting a while.

In a time when everything costs more—groceries, energy, a pint at the pub—your mortgage is one area where you can claw back some much-needed cash. As Hennessy says, “Your home is your home; your mortgage is just a financial product.” Treat it like one. Shop around, save money, and stop paying more than you need to.

So, Ireland, the message is clear: ditch the loyalty, embrace the switch, and start saving. Your wallet will thank you.