Last updated: 8 October 2025 at 14:25
Latest UK mortgage news: House prices record slowest annual growth in over a year.
Annual growth in UK house prices has subsided over recent months, which may equally come as a relief to prospective buyers and spell dismay for homeowners. The cost of a typical property rose by 1.3% in the year to September - down from 2.0% in August and the slowest growth rate since April 2024, according to the latest Halifax House Price Index.
While it also found that the average price of a UK home dipped by 0.3% month-on-month to £298,184, Amanda Bryden, Head of Mortgages at Halifax, said the market remained “broadly stable”.
“While affordability remains a challenge, a relatively lower mortgage rate environment and steady wage growth have helped to support buyer confidence,” Bryden added.
“Although the broader economic outlook remains uncertain, with the affordability picture gradually improving, we continue to expect modest growth throughout the remainder of the year,” she continued.
See below for the lowest fixed mortgage rates for remortgage borrowers, homemovers and first-time buyers.
While we highlight the lowest rates, these aren’t always the best value once fees and incentives are factored in. If you’re unsure, it’s worth speaking to a mortgage broker for tailored advice.
Last updated: 08/10/2025
Rate: 3.80% fixed until 31 January 2028 before reverting to 7.74%
Initial period: 2 years
Product fee: £999
Maximum loan-to-value: 65%
APRC: 7.2%
Representative example: £210,000 mortgage over 25 years initially at 3.80% fixed for 27 months reverting to 7.74% variable for term. 27 monthly payments of £1085.40 and 273 monthly payments of £1545.34. Total amount payable £452,761.62 includes loan amount, interest of £241,184, valuation fees of £0 and product fees of £999. The overall cost for comparison is 7.2% APRC representative.
Rate: 3.94% fixed until 31 January 2029 before reverting to 7.74%
Initial period: 3 years
Product fee: £999
Maximum loan-to-value: 65%
APRC: 6.9%
Representative example: £210,000 mortgage over 25 years initially at 3.94% fixed for 39 months reverting to 7.74% variable for term. 39 monthly payments of £1101.51 and 261 monthly payments of £1529.80. Total amount payable £443,814.69 includes loan amount, interest of £232,237, valuation fees of £0 and product fees of £999. The overall cost for comparison is 6.9% APRC representative.
Rate: 3.95% fixed until 2 January 2031 before reverting to 6.75%
Initial period: 5 years
Product fee: £999
Maximum loan-to-value: 60%
APRC: 5.7%
Representative example: £210,000 mortgage over 25 years initially at 3.95% fixed for 62 months reverting to 6.75% variable for term. 62 monthly payments of £1102.67 and 238 monthly payments of £1387.50. Total amount payable £400,194.54 includes loan amount, interest of £188,591, valuation fees of £0 and product fees of £999. The overall cost for comparison is 5.7% APRC representative.
While Leeds BS continues to offer remortgage borrowers the cheapest-priced two-year fix this week, they’ll be pleased to note a new deal from the lender charges a lower rate of 3.80% to finance a slightly more substantial 65% loan-to-value (LTV). What’s more, another of its new products now offers the lowest three-year fixed rate in the sector (3.94%) following hikes from MPowered Mortgages and can also finance up to 65% of a property. Both are available directly to those residing in England, Wales, mainland Scotland and Northern Ireland and cost £999 in arrangement fees. They each also include a free valuation as an incentive (up to a maximum of £999).
That being said, those with less equity still need to explore other options. Deals from Furness BS, for instance, can finance up to 90% LTV at 4.32% (fixed for two years) or up to 80% LTV at 4.23% (fixed for three years) and land spots on our Moneyfacts Best Buy chart based on their overall true cost. Remortgage borrowers in Great Britain can apply for either mortgage direct or via intermediaries and will face a £999 booking fee. However, this is partially offset by the £250 cashback included as an incentive alongside a free valuation.
When it comes to securing a longer initial fixed term, meanwhile, Santander continues to offer remortgage borrowers the lowest five-year fixed rate. Its deal charging 3.95% to finance up to 60% LTV is available direct or via intermediaries throughout Great Britain and Northern Ireland and costs £999 in arrangement fees. As well as the choice between £250 cashback or free legal fees, those in England, Wales and Northern Ireland will additionally receive a free valuation, while borrowers in Scotland get £95 towards the cost of a valuation.
However, anyone wanting to save on upfront costs could instead consider a Moneyfacts Best Buy option from first direct that can finance up to 75% of a property at a higher 4.04% but comes with a more modest booking fee of £490. This five-year fixed deal can be accessed directly from the lender by borrowers in Great Britain and Northern Ireland who will receive a free valuation and free legal fees as incentives.
Last updated: 08/10/2025
Rate: 3.80% fixed until 2 January 2028 before reverting to 6.75%
Initial period: 2 years
Product fee: £999
Maximum loan-to-value: 60%
APRC: 6.4%
Representative example: £250,000 mortgage over 25 years initially at 3.80% fixed for 26 months reverting to 6.75% variable for term. 26 monthly payments of £1292.14 and 274 monthly payments of £1694.46. Total amount payable £499,151.68 includes loan amount, interest of £247,878, valuation fees of £0 and product fees of £999. The overall cost for comparison is 6.4% APRC representative.
Rate: 3.80% fixed until 31 January 2028 before reverting to 7.74%
Initial period: 2 years
Product fee: £999
Maximum loan-to-value: 65%
APRC: 7.1%
Representative example: £250,000 mortgage over 25 years initially at 3.80% fixed for 27 months reverting to 7.74% variable for term. 27 monthly payments of £1292.14 and 273 monthly payments of £1839.69. Total amount payable £538,371.15 includes loan amount, interest of £287,123, valuation fees of £0 and product fees of £999. The overall cost for comparison is 7.1% APRC representative.
Rate: 3.93% fixed for three years before reverting to 6.49%
Initial period: 3 years
Product fee: £490
Maximum loan-to-value: 60%
APRC: 6.0%
Representative example: £250,000 mortgage over 25 years initially at 3.93% fixed for 36 months reverting to 6.49% variable for term. 36 monthly payments of £1309.95 and 264 monthly payments of £1647.38. Total amount payable £482,606.52 includes loan amount, interest of £232,067, valuation fees of £0 and product fees of £490. The overall cost for comparison is 6.0% APRC representative.
Rate: 3.93% fixed until 31 January 2029 before reverting to 5.99%
Initial period: 3 years
Product fee: £995
Maximum loan-to-value: 60%
APRC: 6.1%
Representative example: £250,000 mortgage over 25 years initially at 3.93% fixed for 39 months reverting to 5.99% variable for 24 months and 6.99% variable for term. 39 monthly payments of £1309.95, 24 monthly payments of £1575.70 and 237 monthly payments of £1703.97. Total amount payable £493,880.74 includes loan amount, interest of £242,746, valuation fees of £0 and product fees of £995. The overall cost for comparison is 6.1% APRC representative.
Rate: 3.97% fixed until 2 January 2031 before reverting to 6.75%
Initial period: 5 years
Product fee: £999
Maximum loan-to-value: 60%
APRC: 5.7%
Representative example: £250,000 mortgage over 25 years initially at 3.97% fixed for 62 months reverting to 6.75% variable for term. 62 monthly payments of £1315.45 and 238 monthly payments of £1652.39. Total amount payable £476,100.72 includes loan amount, interest of £224,827, valuation fees of £0 and product fees of £999. The overall cost for comparison is 5.7% APRC representative.
Elsewhere, Santander continues to provide homemovers with the lowest two- and five-year fixed rates this week; its deals charging 3.80% and 3.97%, respectively, to finance up to 60% LTV can be found direct or via intermediaries by borrowers in Great Britain and Northern Ireland. While they cost £999 in arrangement fees, each includes a free valuation (up to a maximum of £1,190) and £250 cashback as incentives. As a result, the two-year fix retains its place on our Moneyfacts Best Buy chart.
Homemovers with a little less equity, however, could also take advantage of a new two-year fixed deal from Leeds BS that charges the same rate (3.80%) to finance up to 65% LTV. (Note: this is the same deal as is available to remortgage borrowers and is discussed in more detail above).
Otherwise, the lowest three-year fixed rate in this corner of the mortgage market still stands at 3.93% but is available from a smaller number of lenders. A mortgage from Yorkshire Building Society can finance up to 60% of a new home at this rate and comes with a free valuation as an added perk. It costs £995 in completion fees and can be applied for directly by borrowers throughout Great Britain and Northern Ireland.
A three-year fixed mortgage from first direct is similarly priced at 3.93% to finance up to 60% LTV. The lender also offers a five-year fixed deal that charges 3.98% to finance up to 60% of a new home and may appeal to borrowers wanting to secure a fixed term for longer while keeping upfront costs to a minimum. Both cost just £490 in booking fees and can be accessed directly from the lender by borrowers in Great Britain and Northern Ireland. Furthermore, they include a free valuation as an incentive and continue to occupy spots on our Moneyfacts Best Buy charts this week.
Last updated: 08/10/2025
Rate: 4.30% fixed until 29 February 2028 before reverting to 7.49%
Initial period: 2 years
Product fee: £999
Maximum loan-to-value: 90%
APRC: 7.0%
Representative example: £200,000 mortgage over 25 years initially at 4.30% fixed for 28 months reverting to 7.49% variable for term. 28 monthly payments of £1089.08 and 272 monthly payments of £1446.20. Total amount payable £425,009.64 includes loan amount, interest of £223,861, valuation fees of £100 and product fees of £999. The overall cost for comparison is 7.0% APRC representative.
Rate: 4.30% fixed until 29 February 2028 before reverting to 7.49%
Initial period: 2 years
Product fee: £999
Maximum loan-to-value: 90%
APRC: 7.0%
Representative example: £200,000 mortgage over 25 years initially at 4.30% fixed for 28 months reverting to 7.49% variable for term. 28 monthly payments of £1089.08 and 272 monthly payments of £1446.20. Total amount payable £425,009.64 includes loan amount, interest of £223,861, valuation fees of £100 and product fees of £999. The overall cost for comparison is 7.0% APRC representative.
Rate: 4.38% fixed until 28 February 2031 before reverting to 7.49%
Initial period: 5 years
Product fee: £999
Maximum loan-to-value: 90%
APRC: 6.3%
Representative example: £200,000 mortgage over 25 years initially at 4.38% fixed for 64 months reverting to 7.49% variable for term. 64 monthly payments of £1098.09 and 236 monthly payments of £1407.06. Total amount payable £403,492.92 includes loan amount, interest of £202,344, valuation fees of £100 and product fees of £999. The overall cost for comparison is 6.3% APRC representative.
Rate: 4.38% fixed until 28 February 2031 before reverting to 7.49%
Initial period: 5 years
Product fee: £999
Maximum loan-to-value: 90%
APRC: 6.3%
Representative example: £200,000 mortgage over 25 years initially at 4.38% fixed for 64 months reverting to 7.49% variable for term. 64 monthly payments of £1098.09 and 236 monthly payments of £1407.06. Total amount payable £403,492.92 includes loan amount, interest of £202,344, valuation fees of £100 and product fees of £999. The overall cost for comparison is 6.3% APRC representative.
Rate: 4.74% fixed until 31 December 2027 before reverting to 6.39%
Initial period: 2 years
Product fee: £999
Maximum loan-to-value: 95%
APRC: 6.3%
Representative example: £200,000 mortgage over 25 years initially at 4.74% fixed for 26 months reverting to 6.39% variable for term. 26 monthly payments of £1139.08 and 274 monthly payments of £1322.92. Total amount payable £393,345.16 includes loan amount, interest of £192,096, valuation fees of £0 and product fees of £999. The overall cost for comparison is 6.3% APRC representative.
Rate: 4.79% fixed for five years before reverting to 8.09%
Initial period: 5 years
Product fee: £999
Maximum loan-to-value: 95%
APRC: 6.9%
Representative example: £200,000 mortgage over 25 years initially at 4.79% fixed for 60 months reverting to 8.09% variable for term. 60 monthly payments of £1144.84 and 240 monthly payments of £1486.73. Total amount payable £426,719.60 includes loan amount, interest of £225,506, valuation fees of £75 and product fees of £999. The overall cost for comparison is 6.9% APRC representative.
Meanwhile, first-time buyers will find some of the lowest fixed rates have shifted marginally this week. Halifax and Lloyds Bank, for instance, both offer those with a 10% deposit the cheapest two-year fixed rate at 4.30%, as well as the cheapest five-year fixed rate at 4.38%. These deals are all available to borrowers throughout Great Britain and Northern Ireland directly from the lenders. While they cost £999 in arrangement fees, there’s an opportunity to earn £250 cashback if your first home has an Energy Performance Certificate (EPC) rating of 81 or more.
As for those with a smaller, 5% deposit, a deal from West Brom BS now charges the lowest two-year fixed rate (4.74%) after the lender made cuts. This mortgage costs £999 in completion fees and comes with a free valuation (up to a maximum of £740). However, it’s only available to borrowers in England and Wales who can apply either direct or via selected intermediaries.
For a mortgage with a larger lending area, first-time buyers in Great Britain and Northern Ireland could consider a two-year fixed deal from HSBC that features on our Moneyfacts Best Buy chart. Despite charging a higher 4.96% to finance up to 95% LTV, it comes with no additional product fees when applying either direct or via selected intermediaries, a free valuation and £250 cashback.
Keep in mind it’s also possible to secure a longer initial fixed term with a 5% deposit. Furness BS, for example, currently offers the lowest five-year fixed rate at 95% LTV with a deal that charges 4.79%. It’s available to borrowers throughout Great Britain either direct or via intermediaries and costs £999 in booking fees. Successful applicants will also receive a free valuation (up to a maximum of £665) and £250 cashback.
But, as it can be difficult for first-time buyers to find the money to cover additional costs associated with joining the property ladder, those looking to minimise upfront fees could consider a Moneyfacts Best Buy option from Santander. While it charges a slightly higher rate of 4.84% (fixed for five years) to finance up to 95% LTV, this mortgage comes with no additional product fees when applying either direct or via intermediaries. It’s widely available throughout Great Britain and Northern Ireland and includes a free valuation (up to a maximum of £1,190) as well as £250 cashback as further incentives.
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