What is stamp duty on a house in Ireland?

Stamp duty on residential property in Ireland is 1% on the first 1 million euros and 2% on any amount above that threshold. For example, a property costing 400,000 euros incurs 4,000 euros in stamp duty. Non-residential properties are taxed at 7.5%. First-time buyers are not exempt from stamp duty but may qualify for the Help to Buy scheme, which provides a separate tax refund of up to 30,000 euros for new-build homes priced at or below 500,000 euros. Use our stamp duty calculator Ireland for an exact figure.

What deposit do I need for a mortgage in Ireland?

Under Central Bank of Ireland macroprudential rules, first-time buyers need a minimum 10% deposit (90% LTV), while second and subsequent buyers need 20% (80% LTV). On a 350,000 euro property, a first-time buyer needs at least 35,000 euros. These rules were introduced in 2015 to prevent another property bubble and are reviewed annually by the Central Bank.

How much can I borrow for a mortgage in Ireland?

The Central Bank's lending limits cap borrowing at 4 times gross annual income for most buyers. First-time buyers may receive an exception up to 4.5 times income from some lenders. For a household earning 80,000 euros, the standard maximum mortgage is 320,000 euros. Lenders also assess affordability using stress-tested rates to ensure you can handle potential rate increases.

What are current mortgage interest rates in Ireland?

As of early 2026, Irish fixed mortgage rates range from approximately 3.5% to 5.5%, while variable rates sit between 4% and 6% depending on the lender and LTV ratio. Irish mortgage rates have historically been higher than the eurozone average. The Competition and Consumer Protection Commission (CCPC) recommends comparing rates across all lenders before committing.

Is mortgage interest tax deductible in Ireland?

Mortgage interest relief was abolished for new mortgages drawn down after 1 January 2013. However, in Budget 2024, the government introduced a temporary mortgage interest tax credit of up to 1,250 euros per property for owner-occupiers who had an outstanding mortgage balance between 80,000 and 500,000 euros as of 31 December 2022. This measure was designed to help homeowners affected by ECB rate increases.

What is the Help to Buy scheme in Ireland?

The Help to Buy (HTB) scheme is an Irish government incentive providing first-time buyers of new-build homes with a tax refund of up to 30,000 euros or 10% of the purchase price, whichever is lower. The property must cost 500,000 euros or less. The scheme was introduced in 2017 and has been extended through 2025. According to Revenue.ie, over 39,000 claims have been approved since its launch, helping first-time buyers bridge the deposit gap.

Mortgage Calculator Ireland

Calculate your Irish mortgage repayments stamp duty and total cost.

Property Price (€)

Deposit (€)

Mortgage Term (Years)

Interest Rate (%)

Mortgage Type

Monthly Payment

Loan Amount

Total Interest

Total Cost

LTV Ratio

Stamp Duty (Residential)

Help to Buy Scheme

First-time buyers of new homes (up to €500,000) may claim a tax refund of up to €30,000. Check revenue.ie for eligibility.

How Irish Mortgages Work

An Irish mortgage is a secured loan used to purchase residential property in Ireland, where the property itself serves as collateral. The Central Bank of Ireland regulates the mortgage market through macroprudential lending rules that cap how much borrowers can access relative to their income and the property's value. These rules, introduced in 2015, are designed to prevent unsustainable lending practices that contributed to the 2008 property crash.

Irish lenders offer both fixed-rate and variable-rate mortgage products, with terms typically ranging from 20 to 35 years. Unlike some other European markets, tracker mortgages linked directly to the ECB rate are no longer widely available for new borrowers. According to the Banking and Payments Federation Ireland (BPFI), approximately 88% of new mortgages drawn down in 2025 were on fixed rates, reflecting borrowers' preference for payment certainty. You can use our amortization calculator to see how your monthly payments break down between principal and interest over time.

How Irish Mortgage Repayments Are Calculated

The standard Irish mortgage repayment formula uses the annuity method, which is the same formula applied across most European and global mortgage markets. The formula ensures equal monthly payments throughout the loan term:

Monthly Payment = P x [r(1+r)^n] / [(1+r)^n - 1]

P = Principal loan amount (property price minus deposit)
r = Monthly interest rate (annual rate divided by 12)
n = Total number of monthly payments (term in years x 12)

Worked example: For a property priced at 350,000 euros with a 10% deposit (35,000 euros), the loan amount is 315,000 euros. At 4.0% over 30 years: monthly rate = 0.04/12 = 0.00333, total payments = 360. Monthly payment = 315,000 x [0.00333 x 1.00333^360] / [1.00333^360 - 1] = approximately 1,503 euros. Total interest paid over the life of the loan would be around 226,180 euros.

Key Terms You Should Know

LTV (Loan-to-Value) Ratio -- The mortgage amount as a percentage of the property value. The Central Bank limits LTV to 90% for first-time buyers and 80% for second-time buyers.
LTI (Loan-to-Income) Ratio -- The mortgage amount divided by gross annual income. Limited to 4x income, with lenders permitted to exceed this for a small percentage of new lending.
Stamp Duty -- A tax payable on property purchases: 1% on the first 1 million euros and 2% on amounts above. Calculated using the stamp duty calculator Ireland.
Drawdown -- The date on which the mortgage funds are released to complete the purchase.
Mortgage Protection Insurance -- Life insurance required by Irish law for most mortgage borrowers, ensuring the loan is repaid if the borrower dies during the term.
Fixed Rate -- An interest rate that stays the same for a set period (typically 1-10 years), after which it reverts to the lender's variable rate.

Fixed vs Variable Mortgage Rates in Ireland

Choosing between fixed and variable rates is one of the most important decisions Irish mortgage borrowers make. The table below compares typical features of each option based on current market conditions:

Feature	Fixed Rate	Variable Rate
Typical Rate (2026)	3.5% - 5.0%	4.0% - 6.0%
Payment Certainty	Fixed for agreed period	Can change at any time
Early Repayment	Break fees may apply	No break fees
Flexibility	Limited overpayments	Full flexibility
Market Share (2025)	~88% of new mortgages	~12% of new mortgages

According to the BPFI, the average interest rate on new fixed-rate mortgages in Ireland was approximately 4.1% in late 2025, while variable rates averaged around 4.8%. Irish rates remain above the eurozone average of approximately 3.5%, partly due to reduced competition following the exit of Ulster Bank and KBC from the Irish market.

Practical Examples

Example 1: First-Time Buyer in Dublin. Sarah earns 65,000 euros and wants to buy a 2-bed apartment for 380,000 euros. Under Central Bank rules, she can borrow up to 4x income = 260,000 euros. She needs a deposit of at least 38,000 euros (10% LTV). At 4.0% over 30 years, her monthly repayment on a 260,000 euro mortgage would be approximately 1,241 euros. Stamp duty adds 3,800 euros. She may also qualify for up to 30,000 euros under the Help to Buy scheme if purchasing a new-build.

Example 2: Couple Moving Up in Galway. John and Mary have a combined income of 120,000 euros and are second-time buyers looking at a 450,000 euro house. They need a 20% deposit (90,000 euros) and can borrow up to 480,000 euros (4x income). At 3.8% fixed over 25 years, monthly repayments on a 360,000 euro mortgage would be approximately 1,873 euros. Stamp duty: 4,500 euros.

Example 3: Interest-Only Investment. An investor takes a 200,000 euro interest-only mortgage at 5.5% for a rental property. Monthly payment = 200,000 x 0.055 / 12 = 917 euros. The principal remains unchanged, making this suitable for short-term investment strategies but more expensive overall. Use our general mortgage calculator to compare repayment and interest-only options.

Tips to Get the Best Irish Mortgage Deal

Shop around aggressively. With fewer banks in Ireland post-2022, non-bank lenders like Finance Ireland, Avant Money, and ICS Mortgages often offer competitive rates. The CCPC's mortgage comparison tool is a good starting point.
Improve your credit score. Check your Irish Credit Bureau (ICB) record before applying. Clear any outstanding defaults and maintain a clean payment history for at least 12 months.
Consider a mortgage broker. Brokers have access to products from multiple lenders and can identify deals you might miss. They are regulated by the Central Bank of Ireland.
Lock in longer fixed periods. With rates still elevated compared to pre-2022 levels, a 5-7 year fixed rate provides protection against further increases while waiting for potential ECB rate cuts.
Build the largest deposit possible. A lower LTV ratio typically qualifies you for better interest rates. Moving from 90% to 80% LTV can save 0.3%-0.5% on your rate.
Budget for all costs. Beyond the deposit and stamp duty, factor in legal fees (1,500-3,000 euros), valuation fees (150-300 euros), mortgage protection insurance, and home insurance.

Irish Mortgage Market in 2026

The Irish mortgage market has undergone significant consolidation. Following the departure of Ulster Bank and KBC Ireland, the market is dominated by AIB, Bank of Ireland, and Permanent TSB, alongside non-bank lenders. According to the Central Bank of Ireland, total new mortgage lending reached approximately 13.5 billion euros in 2025. The average first-time buyer mortgage was around 285,000 euros nationally and 330,000 euros in Dublin, reflecting the capital's higher property prices. The median house price nationally stood at approximately 320,000 euros, with Dublin averaging around 430,000 euros according to the CSO Residential Property Price Index.

Disclaimer: This calculator is for informational purposes only and does not constitute financial, tax, or legal advice. Always consult a qualified professional for decisions specific to your situation.