Núa Money Rolls Out Significant Mortgage Rate Reductions

In a noteworthy move for the Irish mortgage market, Núa Money, Ireland’s newest mortgage lender, has announced substantial mortgage rate reductions across its residential mortgage and equity release products. The lender, which entered the market in late 2024, has implemented cuts of nearly 1% on some rates, positioning itself as a compelling alternative for first-time buyers, movers, switchers, and those seeking equity release.

Why Núa Money’s rate cuts matter

Mortgage rate reductions can significantly impact borrowing costs, particularly in a high-interest environment. With the European Central Bank’s interest rate hikes over the past 18 months, many mortgage holders in Ireland have faced increasing repayment costs. By introducing these cuts, Núa Money is attempting to capture a growing market of borrowers who have been underserved by traditional lenders.

Fergal O’Leary, Chief Commercial Officer at Núa Money, highlighted the lender’s mission to “make the mortgage process simpler, fairer, and more accessible” by offering competitive rates and streamlined services. He stated: “There are thousands of customers out there with the financial capacity to afford a mortgage but are currently locked out by outdated lending models. Our goal is to change that.”

Understanding Núa Money’s new rates

Núa Money’s mortgage rate reductions apply to both standard residential mortgages and its equity release product, Switcher Extra. Here’s a breakdown of the key changes:

Residential Mortgage Rates:

60% Loan-to-Value (LTV) – 3-Year Fixed: Reduced from 3.85% to 3.6%.
60% LTV – 5-Year Fixed: Reduced from 3.75% to 3.65%.
70% LTV – 3-Year Fixed: Reduced from 4.15% to 3.9%.
70% LTV – 5-Year Fixed: Reduced from 4.05% to 3.95%.

Equity Release Rates (Switcher Extra):

For those seeking to release equity of up to €300,000, rates have dropped to between 4.8% and 5% for borrowers with 60-80% LTV. This is down from 5.75%. Also, homeowners with no remaining mortgage can now access equity of up to €400,000 at rates ranging from 4.6% to 5.25%, down from 5.5%.

What Is ‘equity release’ and how does it work?

Equity release allows homeowners to access a portion of the cash tied up in their property without having to sell it. This can be particularly useful for those who are asset-rich but cash-poor, such as retirees or those with a fully paid-off home who need to fund renovations, medical expenses, or other significant costs.

Who can benefit from Núa Money’s new rates?

First-Time Buyers: First-time buyers looking to secure a mortgage may find Núa Money’s reduced rates attractive, particularly the 3.6% 3-year fixed rate for 60% LTV. This could result in significant savings over the life of the mortgage.

Switchers: Homeowners currently paying higher rates with other lenders could potentially save by switching to Núa Money’s Switcher Extra product, especially those with higher LTV ratios who can now access lower fixed rates.

Equity Release Seekers: Retirees or those with significant home equity may benefit from the new equity release rates, allowing them to access cash without selling their home.

How much could you save?

To illustrate the potential savings, let’s look at the scenario of a first-time buyer:

Loan Amount: €300,000
Loan Term: 30 years
Previous Rate: 3.85%
New Rate: 3.6%

Monthly Repayment (Old Rate): €1,406
Monthly Repayment (New Rate): €1,364

Savings per Month: €42
Savings Over 30 Years: €15,120

Núa Money in comparison to other lenders

Núa Money’s rates are now more competitive than some of the established lenders in the Irish market. However, it’s important to consider additional factors including:

Fees and Charges: Some lenders offer lower rates but charge higher fees.
Fixed vs Variable Rates: While Núa Money is focusing on fixed rates, some borrowers may benefit from variable rates if they expect rates to decline further.
Loan-to-Value Ratios: Higher LTV ratios typically result in higher rates, so borrowers with significant equity can secure more favourable terms.

Why is Núa Money reducing rates now?

The timing of these mortgage rate reductions is strategic. Núa Money entered the market in late 2024, positioning itself as a challenger to more established banks. By offering more attractive rates now, it aims to:

Attract New Customers: Especially those frustrated with rigid lending criteria at other institutions.
Gain Market Share: With a focus on switchers and equity release borrowers.
Establish Brand Recognition: In a crowded market, aggressive rate cuts can generate attention and attract borrowers who might not have considered Núa Money previously.
Cost of money on the bonds markets has decreased throughout 2025 allowing for lending margins to be lower.

What to Consider Before Switching or Releasing Equity

While the new rates are appealing, borrowers should consider:

Early Repayment Fees: Are there penalties for exiting an existing mortgage?
Application Fees: Are there additional costs associated with switching?
Long-Term Financial Goals: Is equity release the best option, or could other financial products serve the same purpose? Does the equity release align with your short, medium and long term financial goals?

How to Apply for a Mortgage or Equity Release with Núa Money

Interested borrowers can begin the application process by us at LHK Finance One. The application process typically includes:

Assessment of Affordability: Proof of income, employment status, and existing debts.
Property Valuation: Independent appraisal to determine current market value and the condition of the property being purchased.
Loan Approval: Offer letters are issued upon successful application.

Get in Touch with Us

If you’re interested in exploring your mortgage or equity release options with Núa Money, book a consultation with one of our experienced advisors here.

We can help you navigate the mortgage market, compare rates, and find the best financial solutions tailored to your needs. Learn more about LHK Finance One here.