Martina helps you save tens of thousands and retire early

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ancy paying off your mortgage years early - and pay €460 less every month! - so you can go off travelling on your retirement? Martina Hennessy, head of switching site Doddl.ie helped one lucky couple do just that. Tens of thousands of people who are paying too much for their mortgage could save tens of thousands if they take some simple steps and switch. Here she tells us how to do it, plus a handy trick to avail of cash back offers - and all about her own personal finances.

You rightly pointed out to us recently that people are needlessly working 9hrs a month on average because they are paying too much for their mortgage. They may be paying over €50k too much.  Why don’t they switch??! In my experience, many mortgage holders do not realise how much they can save by switching. Also mortgage holders expect switching to be a complex and costly process and it is neither.

We highlighted the cheapest rate is 2.25% with KBC. But who can get this?  The 2.25% two-year fixed rate is for mortgage holders who have equity of 40% or more in their property. 

But what about people who still owe 90% of what their house is worth?  The next best rate is a 2.3% two-year fixed rate where you have 10% equity in your home (offered by both KBC and Ulster).

OK, so you can save a lot either way. Who is most likely to save money by switching?

Borrowers with a standard variable rate - or those who have not reviewed their mortgage in the last three years.

The key to good rates can be the loan to value ratio, which should improve as property values rise and the loan is paid off. Will my lender automatically offer me a better rate if my LTV improves? 

In January 2019 the Central Bank introduced new measures that require a mortgage lender to tell you if you can switch to a cheaper mortgage, based on how much equity is in your home.

However, it is important to note that there may be better value on the market (than your current lender) and at doddl we have access to all banks in the marketplace.

How can I switch - in three/four simple steps? How long does it take with Doddl.ie?

1. Log on to doddl.ie and use our mortgage calculator which will show you within two minutes if you can save by switching

2. Contact one of our advisors. Doddl will discuss your current requirements and search seven lenders for the best switching option for you.

3. Allow us (or another broker) to review your mortgage at regular intervals to ensure you continue to make savings on your mortgage through the mortgage term

4. The process takes between six to eight weeks to complete.

Editors Note:  You can also compare mortgage rates on CCPC.ie or Bonkers.ie. Other mortgage brokers will also discuss your requirements and review your mortgage too but do check their credentials and how many lenders they deal with. 

Is now the time to fix? What’s the best fixed rate? Fixed rates are currently competitive and are generally lower than variable rates. As such, fixed rates are hugely popular. There are some very attractive five-year fixed rates which I think are great value at a level of 2.5%.