Borrowers are encouraged to compare other factors, aside from just interest rates, to find the best deal for their needs.
Those currently looking for a mortgage have more than high interest rates to contend with, as recent analysis conducted by Moneyfactscompare.co.uk revealed a typical fixed deal continues to cost over £1,000 in product fees and fewer are offering cashback as an incentive.
Standing at £1,129 on 27 February 2025, product fees are £34 higher on average compared with two years ago, and £89 more expensive than five years ago – much to the dismay of borrowers coming to the end of a fixed term. In a further blow, those wanting to avoid upfront costs now have a much smaller portion of the market to consider, as the percentage of deals charging no additional fees declined from 41% in March 2020 to 36% five days ago.
