THOUSANDS of homeowners with trackers are set to enjoy record low rates for another 18 months.
Economists now believe it will be April 2015 before rates rise, in what will come as a huge relief for the 375,000 people with tracker mortgages.
It followed a meeting yesterday of the European Central Bank, which, as expected, left its interest rate unchanged.
ECB president Mario Draghi promised to keep interest rates low or lower for an extended period to help relaunch the eurozone economy on a growth path.
Mr Draghi revealed the eurozone's central bankers had discussed a rate change but decided against it. It was the fifth month in a row that rates were left at a record low of 0.5pc.
And the ECB indicated it was in no hurry to lift rates from their record low level.
Consumer price inflation in the eurozone slowed to 1.1pc in September, EU statistics office Eurostat said. The ECB's main objective is to keep inflation below 2pc, though it looks at prices over the medium term.
A majority of economists in a Reuters poll now expect the ECB to keep its key rate at 0.5pc until at least April of 2015.
This is set to be a massive boost to the estimated 375,000 homeowners who have tracker mortgages.
These are set at about 1pc above the ECB rate and the mortgage rate for the homeowner can only rise or fall when the ECB main lending rate moves. The move means that close to 375,000 mortgage holders with trackers do not have to worry about higher mortgage costs for a while, as the rate they pay is linked directly to the ECB interest rate.
This will aid household budget planning as mortgage repayments are one of the biggest expenditures for families.
A homeowner with a €200,000 tracker is now saving about €600 a year following two cuts in the ECB rate in the past 18 months.