Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Strategy. Read the original article for full details.
Average Fixed Mortgage Rates Fall to Lowest Level Since March
Average fixed-rate mortgage prices have dropped to their lowest level since March, according to the latest Moneyfacts rate watch. The typical two-year fixed rate is now 5.51%, down from 5.55% last week, while the average five-year fixed rate also fell to 5.51%.
Moneyfacts reports that many lenders, including well-known high street brands, have continued to reduce fixed mortgage rates. Building societies such as Nottingham Building Society and Newcastle Building Society have made significant fixed rate cuts, with reductions of up to 30 basis points.
Other lenders making notable reductions include Hodge, which cut fixed rates by up to 40 basis points, and Bank of Ireland Intermediaries and Bank of Ireland UK, both reducing fixed rates by up to 33 basis points. NatWest, NatWest International Solutions, and Royal Bank of Scotland have each reduced fixed rates by up to 31 basis points.
Additional lenders making reductions include Atom Bank (up to 15 basis points on Prime products), Barclays Mortgage (up to 13 basis points), HSBC (up to 16 basis points), Leeds Building Society (up to 14 basis points), Leek Building Society (up to 20 basis points), Newbury Building Society (20 basis points), Precise (up to 19 basis points), Principality Building Society (up to 11 basis points), Santander (up to 21 basis points), The Co-operative Bank for Intermediaries (up to 22 basis points), TSB (up to 20 basis points), Virgin Money (up to 20 basis points), and West Brom Building Society (up to 25 basis points).
Tracker rates have also seen reductions from several lenders, including Barclays, Leeds Building Society, Newcastle Building Society, Principality Building Society, and Santander.
Teachers Building Society was the only lender noted to have increased fixed rates, by up to 40 basis points.
These changes in mortgage rates may be relevant for letting agents and inventory clerks monitoring market trends and affordability for landlords and tenants.
Source: Mortgage Strategy