According to the latest data from the Central Bank of Ireland, the average interest rate for new mortgages in the market is currently 4.24%.
This was the first decrease since December last year and was down 0.07 points from March.
The country now has the seventh-highest interest rates in the euro zone, according to a survey of interest rates across the euro zone. The euro zone average has fallen for the fifth consecutive month, to 3.81%.
However, exchange rates varied widely across the currency area, ranging from a low of 2% in Malta to a high of 6.23% in Latvia.
Last week, the European Central Bank (ECB) cut its key interest rate, a move that will directly benefit 180,000 tracker mortgage holders.
Finance Ireland and ICS/Dirosc have both cut their floating rate rates in response to the ECB's rate cut.
However, these two lenders offer some of the highest mortgage rates on the market, reaching up to 7.15%.
The past few weeks have also seen cuts in fixed and variable rate rates from AIB, Haven, EBS, Bank of Ireland, PTSB and Avant Money.
Darragh Cassidy, from mortgage broker Bonkers.ie, said: “As expected, average interest rates fell in April from a record high the previous month.”
“And rates should fall slightly over the coming months as the figures reflect the rate cuts recently introduced by some lenders.”
Mr Cassidy said the average first-home buyer could get a fixed interest rate of less than 4 per cent with PTSB and Bank of Ireland.
“And of course, if the ECB cuts rates again at least once in the coming months, we would expect this to put further downward pressure on mortgage rates.”
About 70,000 homeowners will be moving away from fixed rates this year.
Regardless of how quickly or how much interest rates fall later this year, Cassidy said tens of thousands of fixed-rate mortgage holders whose loans are expiring in the coming months should prepare for the possibility of higher repayments.
Many people who have taken out fixed-rate mortgages in the past three or four years may currently be enjoying interest rates as low as 2 to 3 percent.
But they will still face much higher rollover rates when they consider re-anchoring in the coming months, he said.
Last week it emerged that First Minister Simon Harris would seek talks with the chief executives of all of Ireland's banks to insist that the ECB's interest rate cuts be applied to new fixed and variable interest rates “without delay”.
The European Central Bank's chief economist, Irishman Philip Lane, has said in recent days that any future ECB interest rate cuts will depend on how quickly euro zone inflation falls.
He said inflation was slowing faster than expected and that euro zone inflation was likely to come in at 2.6 percent in May.
Lane said he believes further rate cuts are on the way, following the ECB's quarter-point cut last week.
“If we see progress, we will continue to lower rates and eventually normalize interest rates. If we see no progress, we will proceed more slowly,” he said.
