2019 Interim Results Credit Presentation slide image

2019 Interim Results Credit Presentation

ROI Mortgages: €23.2bn New Lending volumes and Market Share 2019 Interim Results Credit Presentation ROI Mortgages (gross) 28% 28% €24.1bn €23.7bn €23.2bn 26% 26% €7.3bn 23% €9.5bn €10.4bn €5.8bn €4.4bn €3.5bn €1.3bn €1.2bn €1.0bn €1.0bn €10.9bn €0.8bn €9.8bn €9.3bn H1 2017 H2 2017 H1 2018 New Lending Volumes¹ H2 2018 Market Share H1 2019 Dec 17 Dec 18 Tracker Variable Rates Fixed Rates Jun 19 Pricing strategy • Fixed rate led mortgage pricing strategy which provides value, certainty and stability to our customers and to the Group • Fixed rate products accounted for c.92% of our new lending in H1 2019, up from c.30% in 2014 Distribution strategy - expansion into broker channel • Accelerating on-boarding of new brokers following successful re-entry into broker market in Q4 2018 (Brokers accounted for c.25% of the market in H1 2019) Wider proposition 7 in 10 ROI customers who take out a new mortgage take out a life assurance policy through BOI Group 3 in 10 ROI customers who take out a new mortgage take out a general insurance policy through BOI Group with insurance partners LTV profile • Average LTV of 61% on existing mortgage stock at June 2019 (Dec 18: 61%) • Average LTV of 74% on new mortgages in H1 2019 (Dec 18: 71%) Tracker mortgages • €8.8bn or 95% of trackers at June 2019 are on a capital and interest repayment basis • 80% of trackers are Owner Occupier mortgages; 20% of trackers are Buy to Let mortgages • Loan asset spread on ECB tracker mortgages was c.64bps² in H1 2019 1 Excluding portfolio acquisitions (H1 2017 - Nil; H2 2017 - €0.1bn; H1 2018 - Nil; H2 2018 - Nil; H1 2019 - Nil) 2 Average customer pay rate of 110bps less Group average cost of funds of 46bps Bank of Ireland 41
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