Rightmove’s weekly mortgage tracker 5/6/24
With the election called for July 4th, Matt Smith, Rightmove’s mortgage expert suggests a review of mortgage affordability criteria could help: “There’s an opportunity to unlock greater affordability in a responsible way, which could help more first-time buyers get on the ladder. First-time buyers are already taking out longer mortgage terms and lender innovation has included the introduction of longer-term fixed rates that are likely to be part of the solution as they help by ensuring certainty of payments.
“Various mortgage schemes have played their part and supported a number of people, and we know from our research that people would like to see new schemes introduced, but we think longer-term solutions would be more effective than short-term schemes. Either way, it’s most likely that regulatory change is needed, so it’s critical that the government works with regulators and lenders from day one on any mortgage solutions, to ensure buy in and take up, which will in turn create more options for first-time buyers.”
Headlines
- The average 5-year fixed mortgage rate is now 5.04%, down from 5.11% a year ago
- The average 2-year fixed mortgage rate is now 5.42%, down from 5.47% a year ago
- The average 85% LTV 5-year fixed mortgage rate is now 5.02%, down from 5.10% a year ago
- The average 60% LTV 5-year fixed mortgage rate is now 4.48%, down from 4.81% 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 £1,135 per month, up from £1,136 per month a year ago
Latest rates data
| LTV
(loan to value) |
Term
|
Average rate 5th June 2024 | Lowest rate 5th June 2024 | Average rate
a year ago |
|
95%
|
2 year fixed | 6.08% | 5.52% | 6.19% |
|
95%
|
5 year fixed | 5.68% | 5.15% | 5.61% |
|
90%
|
2 year fixed | 5.62% | 5.19% | 5.59% |
|
90%
|
5 year fixed | 5.18% | 4.71% | 5.28% |
|
LTV (loan to value) |
Term |
Average rate 5th June 2024 | Lowest rate 5th June 2024 | Average rate
a year ago |
|
85%
|
2 year fixed | 5.41% | 4.99% | 5.48% |
|
85%
|
5 year fixed
|
5.02% | 4.59% | 5.10% |
|
75%
|
2 year fixed |
5.28% | 4.83% | 5.32% |
|
75%
|
5 year fixed
|
4.92% | 4.44% | 4.95% |
|
60%
|
2 year fixed
|
4.89% | 4.75% | 5.20% |
|
60%
|
5 year fixed |
4.48% | 4.34% | 4.81% |
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 £228,003, for someone taking out an average five-year fixed, 85% LTV mortgage, is now £1,135 per month if repaying over 25 years, compared with £1,136 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.
You May Also Enjoy
Comment on how latest Rightmove data shows asking prices double the long-term average
Breaking Property News 16/09/24
5 ways to improve your property site’s SEO
Rightmove launches new Renovation Calculator
Rightmove House Price Index 16th September 2024