You may have seen headlines this week about mortgage rates creeping back up. Yes, the average two-year and five-year fixed rates have risen. Major lenders like Santander and HSBC have already adjusted their pricing, and some specialist lenders have paused applications altogether.
If you're thinking about buying a home, planning to move, or if your current mortgage deal is coming to an end, you might be wondering whether and how this affects your plans — and whether to wait or act now.
Some headlines say “mortgage rates are rising” but there’s more to understand behind that statement. Let’s give you some expert insight into what this really means, and how you can make informed decisions in the current market.
There are two key things to keep in mind right now.
FACT: Fixed-rate deals today are still more competitive than many borrowers faced last year.
While headlines focus on recent increases, today’s fixed-rate deals remain more competitive than many borrowers faced in the past — offering a real opportunity to secure a better monthly payment than was possible just a year ago. If you’re exploring your options now, you may find monthly payments more manageable than expected.
FACT: The Autumn Budget is just around the corner.
Historically, lenders often adjust pricing ahead of major fiscal announcements. That means we often see a flurry of rate changes in the weeks before the Chancellor speaks. Acting now could help you secure a deal before further changes come into play.
What can you do to stay ahead of rising rates and the uncertainty around the Autumn Budget?
Firstly, don’t wait until after the Budget to act. While some buyers are holding off in case rates drop, the risk of missing out on today’s deals could outweigh your potential gains. Follow these links to see our current rates. Do remember — the best mortgage isn’t just about the rate. It’s about the right fit for you.
If you’re buying for the first time: Look at First Time Buyer Mortgage Deals
If you’re buying a brand new home: Explore New Build Mortgage Deals
If you’re moving home: Check our Home Moving Mortgage Deals
If you’re remortgaging: Compare the
Best Remortgage Deals & Rates
If you’re investing: Discover our Buy-to-let Mortgage Deals
Secondly, speak to a whole-of-market broker (like us). Unlike your bank or building society, a broker works for you — not the lender. A mortgage broker’s goal is to find the best deal for your needs, not to keep you tied to one provider. With many lenders having recently improved affordability criteria and income multiples, especially for first-time buyers, having expert guidance is more important than ever. Our mortgage advisers will search the whole market to find the best option for you.
Lastly, and most importantly, secure a rate while you can. Fixed-rate mortgage offers are typically valid for up to six months, which means you can lock in today’s rate even if you’re not ready to complete just yet or your current mortgage product hasn’t expired. This gives you a valuable safety net in a market where rates can change quickly and unpredictably.
Delaying could mean missing out on a deal that fits your budget — especially if lenders continue to adjust pricing ahead of the Autumn Budget. And with some lenders already withdrawing products, waiting might limit your options. The good news? If rates improve before your mortgage completes, know that we proactively monitor rates and will help you switch to a better deal if one is available. But if they rise, you’ll be glad you acted early.
Ready to explore your options?
Call us on 08000 38 37 36 or click here to arrange your free appointment with one of our expert advisers.
