Two-year fixed mortgage rates near 6%, up from 5.68% a month ago
UKPulse Property Desk
Average two-year fixed-rate mortgages are approaching 6%, now standing at 5.97%, according to Moneyfacts data. This marks an increase from 5.68% a month prior.
- The average two-year fixed mortgage rate is 5.97%, up from 5.68% a month ago.
- This is the closest average two-year fixed rates have been to 6% since December 2023.
- Five-year fixed rates have eased to 5.99% after crossing 6% earlier this month.
Average two-year fixed-rate mortgages are now at 5.97%, approaching the 6% threshold, according to Moneyfacts data. This represents an increase from 5.68% recorded a month ago.
This current rate is the closest average two-year fixed mortgages have been to 6% since 7 December 2023, when the average rate was 6.01%. Five-year fixed rates, which had surpassed 6% earlier in October, have since eased to 5.99%, up from 5.73% a month earlier.
For buy-to-let properties, average two-year fixed rates are 5.63%, while five-year products average 6.01%. There are approximately 8,560 residential mortgage products and 5,192 buy-to-let mortgage products available.
Mark Harris, chief executive of SPF Private Clients, stated that while rates are rising, borrowers should not panic. He noted that many two-year deals are still below 6% and advised borrowers to explore options, potentially reserving rates in advance.
Why this matters: The rising cost of mortgage finance may affect market activity, with property viewings having declined recently.
What this means for you: Borrowers may face a more challenging financing landscape compared to recent periods, though product availability remains relatively high. Seeking advice from a whole-of-market mortgage broker could help navigate volatile rates and potentially reserve rates in advance.