With the lowest rate in the market being 3.10% for a 4-year high-value green mortgage, longer-term fixed rates starting at 3.40% are attracting serious attention. Here's why they may represent outstanding value right now.
The Case for Fixing Long
Over recent years, most borrowers who switched fixed for terms of 3 to 7 years. Historically, customers have been reluctant to commit for much longer. But given the uncertainty in the market — geopolitical risk, inflation volatility, ECB unpredictability — longer-term certainty is now more appealing.
Full-term fixed rates are now available at:
| Term | LTV ≤ 80% | LTV > 80% |
|---|---|---|
| 15 years | 3.40% | 3.55% |
| 20 years | 3.50% | 3.65% |
| 25 years | 3.60% | 3.75% |
| 30 years | 3.70% | 3.80% |
The Certainty Premium
Fixing for 20–30 years means you know your exact repayment for the life of your mortgage. No refinancing required, no rate risk, no uncertainty about future ECB decisions.
For a €350,000 mortgage over 30 years at 3.70%, your monthly repayment is approximately €1,612 — and that figure doesn't change.
Who Should Consider Long-Term Fixed?
- Families on fixed incomes who need payment certainty
- First-time buyers who want to budget with confidence
- Buy-to-let investors looking to lock in financing costs on rental properties
- Anyone who values peace of mind over rate optimisation
The Counterargument
If ECB rates fall significantly — say to 1.5% or below — a long-term fixed rate could leave you paying more than the variable market rate. Breaking a fixed rate contract can also incur penalties.
Our View
We have switched a large number of mortgages over recent years. Based on that experience, customers who fixed long have generally been well served. The new range of full-term rates starting at 3.40% represent historically competitive value, particularly given where rates were just two years ago.
Speak to one of our advisors to compare long-term fixed options against current variable and short-term alternatives for your specific situation.
