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Featured - Account Types
What type of savings account do you need?Find out about the different types of savings accounts available to suit a variety of needs.
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Specialist mortgages
Featured - Debt and your credit score
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Best purchase credit cardsExplore the best cards with a 0% introductory period.
Credit cards
Credit repair
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How much can I give as a cash gift?
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This is the first time the average two-year deal dropped below 6% since June 2023.
The average rate for a two-year fixed mortgage fell below 6% today for the first time since mid-June of this year – dropping to 5.99% according to Moneyfacts’ data.
This is some months behind the average five-year fixed deal, which dropped below 6.00% in September and currently sits at 5.60%.
“Having peaked at 6.86% in late July, rates have gently been falling since early August due to a combination of factors including falling inflation, base rate pauses and reductions in swap rates,” explained James Hyde, Spokesperson at Moneyfactscompare.co.uk.
“In recent weeks, a number of lenders have begun to offer sub-5% two-year fixed deals, with the lowest rates available UK-wide sitting around 4.75%”, Hyde went on to add.
With the Bank of England’s Monetary Policy Committee (MPC) meeting to vote on the base rate next week, a cut to the central interest rate or even a prolonging of the pause could see average mortgage rates continue to fall further.
The base rate is a central interest rate that commercial banks receive when they hold money with the Bank of England. Increases and decreases to the base rate can be reflected in the rate these banks charge customers to borrow money (i.e. the amount of interest you pay on your mortgage).
Graph: The average rate for a two-year mortgage fell below 6% for the first time since June.
Mortgage rates were driven up earlier this year as the Bank of England’s MPC made consecutive hikes to the base rate in an attempt to quell chronically high inflation.
With inflation slowing dramatically to 4.6% in the year to October and the MPC holding the base rate at 5.25%, average mortgage rates have gradually been on the decline – an indication the market is improving.
A further positive sign, the mortgage market continues to see its highest product availability in over 15 years, with 5,766 deals available at the start of today.
Whether you’re a first-time buyer, moving home or looking to remortgage, you can use our dedicated charts to compare mortgage deals from across the market.
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The Moneyfacts Pick of the Week showcases the best of the latest products or rate changes to hit the consumer finance market.
This week's selection includes an increased two-year fixed ISA from Aldermore, and a five-year fixed rate mortgage from first direct.
Each week the Moneyfactscompare.co.uk content team round up the very best mortgage rates available in the UK. Compare and apply today.
More good news for borrowers as lowest rates continue to fall.
Mortgage approvals rose to their highest level in two years as house prices also record an increase, according to the latest figures from Nationwide BS.
Mortgage approvals rose to their highest level in two years as house prices also record an increase.
The Moneyfacts Pick of the Week showcases the best of the latest products or rate changes to hit the consumer finance market.
This week's selection includes an increased two-year fixed ISA from Aldermore, and a five-year fixed rate mortgage from first direct.
Each week the Moneyfactscompare.co.uk content team round up the very best mortgage rates available in the UK. Compare and apply today.
More good news for borrowers as lowest rates continue to fall.
Mortgage approvals rose to their highest level in two years as house prices also record an increase, according to the latest figures from Nationwide BS.
Mortgage approvals rose to their highest level in two years as house prices also record an increase.
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Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.
Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.
Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.
Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.
Moneyfactscompare.co.uk will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by Moneyfactscompare.co.uk will always be from news@moneyfacts-news.co.uk. Be ScamSmart.