This week's top mortgage deals explained

Last updated: 19 November 2025 at 15:05

Latest UK mortgage news: Cheaper borrowing costs could be on the horizon, as slowing inflation improves odds of an interest rate cut next month.

With latest figures from the Office for National Statistics (ONS) revealing that UK inflation eased to 3.6% in the year to October, it could be we see the Bank of England cut interest rates next month.

“A base rate cut in December is looking increasingly likely; with GDP growth slowing and unemployment rising, this has pushed swap rates near their 30-day lows and reflects the market’s confidence,” said Caitlyn Eastell, Spokesperson at Moneyfactscompare.co.uk.

A reduction to the UK’s central interest rate could lead to cheaper borrowing costs; over recent weeks, plenty of lenders have already lowered their pricing which resulted in the Moneyfacts Average Mortgage Rate dropping sustainably below 5% for the first time in over three years.

However, the upcoming Autumn Budget could still complicate matters depending on how the market reacts to any new measures announced.

See below for the lowest fixed mortgage rates for remortgage borrowers, homemovers and first-time buyers.

The best remortgage rates

Whether you’re a remortgage borrower wanting a two-, three- or five-year initial fixed term, Santander offers the lowest rates this week after making another round of cuts. It can finance up to 60% of your property at 3.72%, 3.80% and 3.83%, respectively, for two, three and five years. Each of these deals can be accessed either direct from the lender or via intermediaries and costs £999 in arrangement fees. As well as the choice between £250 cashback on completion or free legal fees, customers in England, Wales and Northern Ireland will receive a free valuation. Those in Scotland, meanwhile, get £95 towards the cost of their valuation. Based on these factors, the two-year deal earns a spot on our Moneyfacts Best Buy chart based on its overall true cost.

Nevertheless, remortgage borrowers with less equity will still need to consider other options. Another two-year fixed deal from Santander, for instance, features on our Moneyfacts Best Buy chart and can finance up to 75% loan-to-value (LTV) at 3.81%. Like the products mentioned above, it costs £999 in arrangement fees, comes with the same incentives and is available either direct or via intermediaries to borrowers in Great Britain and Northern Ireland.

Meanwhile, Halifax offers remortgage borrowers in Great Britain and Northern Ireland a three-year fixed deal that can finance up to 80% LTV at 4.17% and which appears on our Moneyfacts Best Buy chart. It’s available direct from the lender, costing £999 in arrangement fees, and includes a free valuation as well as free legal fees as perks. What’s more, those living in an energy efficient property that has an Energy Performance Certificate (EPC) score of 81 or more will get £250 cashback as an extra incentive.

Otherwise, an alternative five-year fixed deal from Lloyds Bank may appeal to remortgage borrowers with less equity who still want the security of a longer initial fixed term. This mortgage can finance up to 75% LTV at 3.92% and costs £999 in arrangement fees when applying directly with the lender. It’s available to refinance customers living in Great Britain and Northern Ireland who will receive a free valuation and free legal fees as incentives. As with the previous deal from Halifax, those whose home has an EPC rating of 81 or more will earn £250 cashback. It also lands a spot on our Moneyfacts Best Buy chart.

The best mortgage rates for homemovers

Homemovers can similarly now find the lowest two-, three- and five-year fixed rates from Santander. It charges 3.55%, 3.60% and 3.76%, respectively, to finance up to 60% of a new home for two, three and five years. Once again, these deals are available direct or via intermediaries to borrowers in Great Britain and Northern Ireland. They each cost £999 in arrangement fees but include a free valuation (up to a maximum of £1,190) and £250 cashback as incentives.

While they all take places on our Moneyfacts Best Buy charts, those needing to finance a larger portion of their next property must compare other options. A Moneyfacts Best Buy deal from Yorkshire Building Society, for example, can finance up to 80% LTV at a two-year fixed rate of 3.85%. Borrowers in Great Britain and Northern Ireland who apply for this mortgage direct will face a £995 completion fee but get a free valuation as an added incentive.

Elsewhere, first direct offers a three-year fixed Moneyfacts Best Buy alternative that may appeal to homemovers wanting to save on upfront costs. It caters for up to 80% LTV at a higher 4.06% but costs just £490 in booking fees when applying direct. This deal has a lending area that spans the length of Great Britain and Northern Ireland and comes with a free valuation.

Alternatively, another five-year fixed deal from Santander occupies a spot on our Moneyfacts Best Buy chart but can finance up to 85% LTV at 4.02%. Like those previously mentioned, borrowers in Great Britain and Northern Ireland can apply for this deal direct or via intermediaries. It costs £999 in arrangement fees and includes a free valuation (up to a maximum of £1,190) and £250 cashback.

The best first-time buyer mortgages

The first-time buyer market also benefited from rate cuts this week. Yorkshire Building Society now offers those with a 10% deposit the lowest two-year fixed rate at 4.18%. Prospective borrowers in Great Britain and Northern Ireland can apply for this deal directly with the lender. It costs £999 in completion fees but includes a free valuation as its sole incentive.

Those who’d prefer to secure a rate for slightly longer, meanwhile, will find Barclays Mortgage offers first-time buyers the cheapest-priced five-year fix with a deal that can finance up to 90% LTV at 4.27%. This mortgage is available either direct or via intermediaries to borrowers in Great Britain and Northern Ireland and costs £899 in arrangement fees. It also includes a free valuation as its only added perk.

For access to a wider range of incentives, first-time buyers in Great Britain and Northern Ireland could consider mortgages from HSBC that continue to charge 4.23% and 4.32% to finance up to 90% LTV for two and five years, respectively. As well as a free valuation, these deals offer a respective £250 cashback and £350 cashback which could help with covering moving costs or furnishing your first home. Each option costs £999 in booking fees and can be applied for directly or via selected intermediaries.

However, those with a smaller deposit will need to explore other options. After making cuts, The Co-operative Bank for Intermediaries offers the lowest two-year fixed rate with a deal that can finance up to 95% of a first home at 4.59%. As the lender’s name suggests, borrowers in Great Britain can only access this mortgage via selected intermediaries. Although it costs £999 in arrangement fees, this is partially offset by the £250 cashback included alongside a free valuation as an incentive.

Alternatively, they could consider a two-year fixed mortgage from Virgin Money that offers a more substantial £300 cashback and comes with no additional product fees. This deal charges 4.87% to finance up to 95% LTV and is available both direct and via intermediaries to borrowers in Great Britain and Northern Ireland. Despite the higher rate, it lands a place on our Moneyfacts Best Buy chart based on its overall true cost.

Or, when it comes to locking in a longer fixed term with a 5% deposit, first-time buyers can continue to find the cheapest-priced five-year deal from Leek Building Society. However, it charges a slightly lower rate of 4.61% this week after the lender made cuts. This mortgage costs £995 in completion fees and offers a free valuation as an incentive. While it earns a spot on our Moneyfacts Best Buy chart, it should be noted that this product can only be accessed by first-time buyers in England and Wales.

Instead, for a deal more widely available throughout Great Britain and Northern Ireland, prospective borrowers could consider another Moneyfacts Best Buy option from Barclays Mortgage. Despite charging a higher, five-year fixed rate of 4.71% to finance up to 95% LTV, this mortgage comes with no additional product fees and offers a free valuation as an incentive. Those interested can apply direct or via intermediaries.