1 in 5 mortgage holders could save money by switching

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Research by the Central Bank shows one in five mortgage holders could save money by switching.

The Central Bank has ordered banks and building societies to give their customers more information about the savings they could make by switching out of their current mortgage arrangements.

Research by the Central Bank shows one in five mortgage holders could save money by switching – and some 27,000 people could save more than €10,000 by doing so.

Last year some 3,000 primary dwelling home (PDH) mortgage holders switched their mortgage.

The switchers were predominantly based in Dublin, and had relatively low loan to income and loan to value ratios. The average amount outstanding was €221,488 on a property valued at €413,884.

The average loan outstanding was for 22 years, while the average borrower who switched was aged 41 with a combined household income of €101,116.