Rightmove’s weekly mortgage tracker 25/10/23

October 25, 2023
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Rightmove’s mortgage expert Matt Smith says:  “Last week’s inflation numbers have not had any material impact on rates, and they’ve continued to slowly creep downwards. It could be just a matter of days before we start seeing sub 5% rates in the higher Loan-To-Value (LTV) brackets, which would be a first since June and could help to spark a new wave of home-mover confidence. The market is still expecting base rates to be held next week, so we’re likely to see mortgage rates continue to trend downwards in the coming week.

“As attention turns to next month’s Autumn Statement, the rumoured mortgage guarantee scheme renewal would be some support for those small-deposit movers. Anything that can help those with smaller deposits is always welcome, but we know the vast majority of borrowers opt for a lower LTV mortgage if they can, to avoid higher monthly payments. Whilst cancelling the scheme may be seen as a disappointing outcome by some, in reality it is unlikely to have a significant impact on consumer choice, as many lenders are offering 5% deposit deals outside of the government scheme.”

Headline stats 

  • The average 5-year fixed mortgage rate is now 5.38%, down from 6.11% a year ago
  • The average 2-year fixed mortgage rate is now 5.85%, down from 6.31% a year ago
  • The average 85% LTV 5-year fixed mortgage rate is now 5.47%, down from 6.10% a year ago
  • The average 60% LTV 5-year fixed mortgage rate is now 4.95%, down from 5.81% a year ago
  • The average monthly mortgage payment on a typical first-time buyer type property when taking out an average five-year fixed, 85% LTV mortgage, is now £1,167 per month, down from £1,242 per month a year ago

 

Latest rates data

 

LTV

(loan to value)

  

Term

 

 Average rate 24th October 2023 Lowest rate 24th October 2023 Average rate

a year ago

 

95%

 

 2 year fixed 6.26% 5.99% 6.60%
 

95%

 

 5 year fixed 5.78% 5.62% 6.41%
 

90%

 

 2 year fixed 6.13% 5.70% 6.46%
 

90%

 

 5 year fixed 5.56% 5.15% 6.26%

 

 

 

LTV (loan to value)

  

Term

 Average rate 24th October 2023 Lowest rate 24th October 2023 Average rate

a year ago

 

85%

 

 2 year fixed  

6.00%

  

5.54%

 6.33%
 

85%

 

  

5 year fixed

 

  

5.47%

  

5.00%

 6.10%
 

75%

 

  

2 year fixed

  

5.60%

  

5.14%

 6.16%
 

75%

 

  

5 year fixed

 

 5.19% 4.74% 5.95%
 

60%

 

  

2 year fixed

 

 5.37% 5.09% 6.14%
 

60%

 

  

5 year fixed

 4.95% 4.64% 5.81%

 

Rightmove can provide average monthly mortgage payments based on the latest available asking price and mortgage rate data. For example, the average monthly mortgage payment on a first-time buyer type property which is currently £224,263, for someone taking out an average five-year fixed, 85% LTV mortgage, is now £1,167 per month if repaying over 25 years, compared with £1,242 per month a year ago.

Average mortgage rates to be credited to Rightmove. The data is provided by specialist mortgage technology provider Podium Solutions. The data covers 95% of mortgage lending, to exclude specialist lenders. 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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