Rightmove reaction to Bank Rate cut

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Matt Smith, Rightmove’s mortgage expert says:

“The much-anticipated second rate cut of the year has arrived, and with some lenders having taken their time to pass on the benefits of the expected Bank Rate cut, I think we may now see further reductions in the coming days and weeks. A fresh round of mortgage rate reductions could be a boost for buyer demand as this year’s Spring Selling season approaches its end. The lowest available five-year and two-year fixed mortgage rates are edging downwards, with the cheapest available two-year fixed rate the lowest it’s been since before the mini-Budget. Since the last rate cut, we’ve also seen how lenders are trying to help home-buyers outside of reducing rates, by reviewing their affordability criteria.

“Looking ahead, there’s still a lot of uncertainty over how trade tariffs may impact the global economy, so it’s difficult to make predictions right now. However, as it stands, the financial markets are forecasting two-to-three more Bank Rate in 2025, which could take us to a rate of 3.75% by the end of the year. In the short-term, I think movers can expect average mortgage rates to trickle downwards over the next few weeks but not dramatically.”

 

Rightmove’s mortgage tracker

 

Average rates for 2-year and 5-year fixed-rate mortgages

Term Average rate Weekly change Yearly change
2-year fixed 4.64% -0.05% -0.77%
5-year fixed 4.60% -0.03% -0.41%

 

 

Lowest rates for 2-year and 5-year fixed-rate mortgages

Term Lowest rate Weekly change Yearly change
2-year fixed 3.72% -0.03% -0.89%
5-year fixed 3.78% -0.05% -0.38%

 

 

Average fixed-term mortgage rates for home-buyers with 5-10% deposits

Loan to Value (LTV) Term Avg rate
01 May 2025
Avg rate
08 May 2025
Weekly Change Yearly Change
95% 2-year-fixed 5.42% 5.40% -0.02% -0.70%
95% 5-year-fixed 5.30% 5.27% -0.03% -0.43%
90% 2-year-fixed 4.98% 4.95% -0.03% -0.70%
90% 5-year-fixed 4.82% 4.80% -0.02% -0.37%
           

Average fixed-term mortgage rates for home-buyers with 15-25% deposits

Loan to Value (LTV) Term Avg rate
01 May 2025
Avg rate
08 May 2025
Weekly Change Yearly Change
85% 2-year-fixed 4.65% 4.59% -0.06% -0.79%
85% 5-year-fixed 4.59% 4.55% -0.04% -0.38%
75% 2-year-fixed 4.45% 4.39% -0.06% -0.87%
75% 5-year-fixed 4.43% 4.41% -0.02% -0.49%

 

Average fixed-term mortgage rates for home-buyers with 40% deposits

Loan to Value (LTV) Term Avg rate
01 May 2025
Avg rate
08 May 2025
Weekly Change Yearly Change
60% 2-year-fixed 4.06% 4.01% -0.05% -0.90%
60% 5-year-fixed 4.10% 4.06% -0.04% -0.46%

These rates are provided by Podium and are an average based on 95% of the mortgage market. All rates are based on products with a circa £999 fee.

Rightmove

UK Property news updates shared directly from Rightmove PLC - the country's leading property portal.

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