Common mounted mortgage charges have elevated for the primary time since February, in line with the most recent Moneyfacts UK Mortgage Traits Treasury Report. The information reveals that each two- and five-year fixed-rate mortgages rose by 0.02% in October, to 4.98% and 5.02% respectively.
This marks the primary month-on-month rise in mounted charges in eight months. Regardless of the uptick, charges stay properly beneath the degrees seen a 12 months in the past. The typical two-year mounted charge is down 0.42% from 5.40% in October 2024, whereas the five-year charge has fallen by 0.05% over the identical interval, down from 5.07%.
The general Moneyfacts Common Mortgage Price additionally rose to five.02%, up from 5.00% the earlier month. That is nonetheless considerably decrease than the 6.21% recorded in October 2023.
Lender exercise additionally affected the common mortgage shelf-life, which elevated to 22 days, up from 17 days in September — the best since April 2025, when it stood at 21 days.
Elsewhere, the common two-year tracker variable mortgage charge rose to 4.67%, whereas the common Normal Variable Price (SVR) fell to 7.27%. The SVR stays beneath its latest peak of 8.19% seen in late 2023.
The full variety of accessible mortgage merchandise dipped barely to six,998, falling beneath the 7,000 mark. Nonetheless, availability at larger loan-to-value (LTV) tiers continues to strengthen. The mixed variety of offers at 90% and 95% LTV rose to 1,362 — the best determine since March 2008, when 1,532 merchandise have been recorded.
Rachel Springall, finance commentator at Moneyfacts, stated: “Debtors might be dissatisfied to see mounted mortgage charges on the rise. Risky swap charges and a cautionary method amongst lenders have led to an abrupt halt in consecutive month-to-month common charge falls. The typical two- and five-year mounted mortgage charges rose by 0.02%, to 4.98% and 5.02% respectively, the primary month-on-month rise in eight months (February 2025). General, the Moneyfacts Common Mortgage Price additionally rose for the primary time since February 2025 to five.02%. The shift in sentiment in direction of pre-pricing and product churn throughout September led to an increase within the common shelf-life of a mortgage, to 22 days, the primary soar above 20 days for six months (21 days – April 2025). This enhance is probably going a results of a chilled mortgage market, so it will likely be fascinating to see if exercise picks up ought to lenders have to hit any year-end targets.
“There could also be little margin of charge motion from lenders within the coming weeks, prolonging the subdued sentiment. Inflation is anticipated to peak at 4%, which might then be double the specified 2% goal, so any imminent base charge cuts by the Financial institution of England appear unlikely. Nonetheless, even with the three base charge cuts because the begin of 2025, mounted mortgage charges can transfer up regardless, reminiscent of in response to unstable swap charges. It isn’t all doom and gloom for debtors, because the mortgage market has proven how far it has improved over latest years. Debtors who locked right into a two-year mounted charge deal again in October 2023 would have been paying 6.47% in curiosity on common, in comparison with 4.98% now. That could be a distinction of £225 monthly in repayments on a £250,000 mortgage over 25 years.
“The repercussions of rising mounted charges and subdued sentiment stifle the Authorities’s push for lenders to do extra to spice up UK progress. Nonetheless, even with a slight dip in product selection throughout the mortgage spectrum, the mixed amount of offers accessible to debtors with a 5% or 10% deposit or fairness stands at a 17-year excessive. The comfort of loan-to-income guidelines is a constructive step for enhancing mortgage affordability challenges, however first-time consumers are nonetheless ready for extra inexpensive housing to be constructed. Whether or not buying or refinancing, it stays important debtors search impartial recommendation to navigate the mortgage maze and never really feel pressured to safe a deal due to the Price range hearsay mill.”
| Mortgage market evaluation | ||||||
| Oct-23 | Oct-24 | Apr-25 | Sep-25 | Oct-25 | ||
| Fastened and variable charge merchandise | Complete product rely – all LTVs | 5,495 | 6,645 | 6,870 | 7,062 | 6,998 |
| Product rely – 95% LTV | 252 | 351 | 442 | 464 | 453 | |
| Product rely – 90% LTV | 648 | 751 | 845 | 896 | 909 | |
| Product rely – 60% LTV | 585 | 775 | 797 | 791 | 790 | |
| All merchandise | Shelf-life (days) | 16 | 21 | 21 | 17 | 22 |
| All LTVs | Common two-year mounted charge | 6.47% | 5.40% | 5.32% | 4.96% | 4.98% |
| Common five-year mounted charge | 5.97% | 5.07% | 5.18% | 5.00% | 5.02% | |
| 95% LTV | Common two-year mounted charge | 6.74% | 5.89% | 5.81% | 5.42% | 5.46% |
| Common five-year mounted charge | 6.08% | 5.44% | 5.62% | 5.40% | 5.44% | |
| 90% LTV | Common two-year mounted charge | 6.39% | 5.73% | 5.59% | 5.27% | 5.27% |
| Common five-year mounted charge | 5.78% | 5.22% | 5.33% | 5.18% | 5.18% | |
| 60% LTV | Common two-year mounted charge | 6.16% | 4.84% | 4.79% | 4.48% | 4.52% |
| Common five-year mounted charge | 5.65% | 4.57% | 4.69% | 4.65% | 4.68% | |
| All LTVs | Normal Variable Price (SVR) | 8.18% | 7.96% | 7.60% | 7.32% | 7.27% |
| All LTVs | Common two-year tracker charge | 6.17% | 5.67% | 5.20% | 4.66% | 4.67% |
| Information proven is as on the first accessible day of the month, except said in any other case. | ||||||
| Supply: Moneyfacts Treasury Experiences | ||||||
| Moneyfacts Common Mortgage Price | |||||
| Oct-23 | Oct-24 | Apr-25 | Sep-25 | Oct-25 | |
| Moneyfacts Common
Mortgage Price |
6.21% | 5.30% | 5.28% | 5.00% | 5.02% |
| Calculated from the whole of all on-sale, core market, mounted and variable tracker mortgages. Normal exclusions apply: Self-build solely, shared possession solely, new construct solely, shared fairness solely, normal variable charges and antagonistic credit score | |||||
| Supply: Moneyfacts Common Mortgage Price. | |||||
Reflecting on this newest knowledge, Simon Gammon, managing companion at Knight Frank Finance, stated: “Inflation has crept near double the Financial institution of England’s 2% goal in latest months, and shoppers’ inflation expectations have began to rise. Each components have unsettled policymakers and paused the regular decline in mortgage charges we’ve seen since early spring.
“Lenders have responded cautiously, with some edging charges larger and the general common ticking up barely. That is unlikely to mark the beginning of a sustained rise in borrowing prices, however fairly a protracted plateau whereas the outlook turns into clearer.
“The pause is more likely to weigh on housing market exercise, which was already exhibiting indicators of softening forward of the November Price range amid hypothesis about potential adjustments to property and private taxation.
“That stated, a number of the best fixed-rate merchandise stay accessible round 3.8%, and now could also be a wise time to lock in. If charges enhance later, most debtors can renegotiate earlier than completion, so it’s value securing a great deal whereas it’s on the desk.”
