Rightmove reveals the latest average mortgage rates in the UK for the week to 23 May.
For 85% LTV five-year fixed loans the average rate stays at 4.56% for this week – this compares to 2.94% a year ago.
For 60% LTV five-year fixed rate loans the average rate is up 0.01% to 4.28% and this compares to an average rate of 2.64% a year ago.
For 95% two-year fixed deals the average rate this week is unchanged at 5.60% and this compares to an average rate of 3.23% a year ago.
For 90% two-year fixed rate deals, the rate has increased 0.01% to 5.13% and this compares to an average rate of 2.97% last year.
Rightmove’s mortgage expert Matt Smith suggests that the largely-unchanged mortgage rates this week are some good news for home-movers who are planning their next steps.
“The stability we are starting to see from week-to-week is reassuring for movers, helping them to understand how much they are likely to pay each month on a mortgage”.
Smith adds: Looking a bit deeper, we have seen the last remaining sub-4% rates removed by lenders, reflecting increases in swap rates over the last few weeks. The cheapest rates available are now 4.06%, at both 60 and 75% Loan-To-Value (LTV)”.
He believes we may see more activity from lenders in the coming week, after the latest inflation figures are published.
“If inflation falls by more than the markets are predicting, this could be positive news for mortgage rates, though if inflation remains higher than forecast, we could see further pressure on lenders to increase rates,” he says.
