Finance Ireland has launched a range of residential mortgage products to compete with the main banks. 

Finance Ireland is backed by a number of entities, including the state-run Ireland Strategic Investment Fund, and it entered the market late last year through the acquisition of Pepper Money's loan book. 

Finace Ireland's main selling point is the fact that it is promising gradually lower rates over the lifetime of a mortgage, as a customer's loan value becomes smaller and smaller in comparison to the value of the home.

To access lower rates at any time, customers may have to provide a new property valuation from Finance Ireland's panel of approved valuers.  

Finance Ireland said its focus will be on a "lifetime value" approach  rather than up-front cash back offers which can be  more costly over the longer term.  

It said it believes it has the strongest customer proposition in the market in terms of choice and the spectrum of customers it can lend to. 

Billy Kane, chief executive of Finance Ireland, said that Finance Ireland is now a substantial business that challenges the main banks across a number of sectors including car finance, commercial property, SME lending and Agri Finance. 

"Our goal is to build a substantial mortgage business based on long term fair and transparent pricing combined with exceptional customer experience delivered via our appointed mortgage intermediaries.  

"We are delighted with the response we have received to date since entering the market only a few short months ago," Mr Kane added.