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Mortgage switching calculator

Compare your current mortgage rate with a new one. See the change in your monthly repayment, the interest saved over the fixed period and the term, and how long the switching costs take to earn back.

New rate fixed for
Monthly saving 
Break-even
 
Net saving, fixed period
 
Interest saved, full term
 
Net saving, full term
 
Monthly repayment
Over the fixed period
Switching costs

This is an estimate based on the figures you enter. It assumes the new rate applies for the whole fixed period, the term stays the same and both rates stay unchanged after it. It is not financial advice. Get exact repayments, costs and any break fee from your lenders and solicitor before switching. Terms of use.

Illustration for the mortgage switching calculator

Worked example

€250,000 left over 25 years, moving from 4.15% to a 3-year fixed rate of 3.45%, with €1,500 of costs. The repayment falls from €1,340.39 to €1,244.87, a saving of €95.52 a month. The costs are earned back after 16 months. Over the 3 years, €5,156 less interest is paid, or €3,656 after costs.

The same mortgage at 3.65% with 2% cashback. The cashback of €5,000 is more than the costs, so you are €3,500 ahead on day one. The monthly saving is €68.63 and the net saving over 3 years is €7,186, so here it is ahead of the lower rate without cashback over the fixed period.

How it is calculated

  • Repayments use the standard repayment mortgage formula, with interest charged monthly at a twelfth of the yearly rate, over the years left on your mortgage.
  • The interest saved over the fixed period is the interest on the current mortgage less the interest on the new one, over the same months. Because the new mortgage also clears more of the balance, comparing interest gives the full benefit.
  • The net saving takes off legal and valuation costs and any break fee, and adds back cashback.
  • Break-even is the net cost divided by the monthly saving, rounded up to whole months.
  • The full-term figures assume both rates stay the same until the mortgage is paid off.

Sources

Rules checked against the sources below. Every figure is listed on rates and sources.

Questions

How much does it cost to switch mortgage?
The main costs are solicitor fees for the new mortgage, outlays such as the mortgage registration fee and searches, and a valuation report. The CCPC puts conveyancing fees at around €950 to €2,500 plus VAT. Many lenders pay a contribution towards legal fees or a cashback. Your solicitor must give you a costs notice in advance.
Can I switch if I am on a fixed rate?
Yes, but your current lender can charge a break fee (also called an early redemption charge) if you leave a fixed rate before it ends. The fee depends on how much interest rates have moved since you fixed and how long is left. Ask your lender for the figure and enter it here. There is no break fee on a variable rate.
What is the break-even point?
It is the number of months of lower repayments it takes to cover the switching costs, after any cashback. If the cashback is more than the costs, you are ahead from the start.
Does this calculator change my mortgage term?
No. It keeps the same remaining term, so the saving shows as a lower monthly repayment. Some people keep paying the old amount after switching, which clears the mortgage sooner. The mortgage repayment calculator shows the effect of overpaying.
What happens when the fixed rate ends?
The mortgage moves to the lender's variable rate or a new fixed rate offered at the time. The savings over the whole term assume both rates stay the same for the rest of the mortgage, which is unlikely. The figure for the fixed period is the more reliable comparison.
Is a cashback offer worth more than a lower rate?
It depends on the amounts and how long you keep the rate. A lower rate saves money every month; cashback is paid once. Enter each offer and compare the net saving over the fixed period. Some cashback is paid in instalments or must be repaid if you switch again within a set time, so read the terms.
Do the Central Bank lending limits apply when I switch?
No. Moving the same mortgage amount to a new lender is not covered by the loan to income and loan to value limits. You still need to meet the criteria of the new lender, including affordability checks and a valuation.

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