There have been small changes to average mortgage rates since last week, but the reductions in pricing continued, data from a property listing firm showed.
The Rightmove weekly mortgage tracker revealed that the average two-year fixed rate came to 5.35% on 11 July, down from an average of 5.37% last week. The average five-year fixed mortgage rate also fell marginally from 4.99% to 4.97%.
Both averages were lower than rates seen a year ago, when the average two-year fix was 6.42% and the average five-year fixed rate was 5.91%.
Mortgage rate changes at LTV tiers
As of 11 July, Rightmove’s data found the average two-year fixed mortgage rate for a 60% loan to value (LTV) deal was 4.78%, while the five-year fixed rate came to 4.35%.
This compared to averages of 4.82% and 4.39% last week respectively. A year ago, the average rates came to 6.24% and 5.78%.
At 75% LTV, the average two-year fixed rate fell from 5.22% to 5.18% week-on-week, while the average five-year fixed rate dropped from 4.86% to 4.82%.
This time last year, the averages were 6.24% for a two-year fix and 5.73% for a five-year fix.
The average two-year fixed rate at 85% LTV sat at 5.36% on 11 July, down from 5.38% last week, while the average five-year fixed mortgage rate was 4.97% compared to 4.99%.
Both averages were lower than the respective rates of 6.4% and 5.9% last year.
At 90% LTV, the average two-year fixed rate declined from 5.65% to 5.63% over the week, while the average five-year fixed rate dropped from 5.16% to 5.14%. Last year, the averages were 6.51% and 5.99% respectively.
The average two-year fixed rate for a deal at 95% LTV was 6.12% and the average five-year fixed rate was 5.67%. The average five-year fixed mortgage rate was flat on last week, while the average two-year fixed rate had fallen from 6.11%.
These were down from the respective average rates of 6.93% and 6.23% a year ago.
Rightmove calculated that the typical monthly mortgage payment on a first-time buyer property worth £227,757 with a five-year fix at 85% LTV over a 25-year term would be £1,128, down from £1,128 a year ago.
Shekina is the deputy editor at Mortgage Solutions and commercial editor at Mortgage Solutions and Specialist Lending Solutions. She has nearly eight years of experience in the B2B publishing market, having previously covered the hospitality, retail, pet, accounting and jewellery sectors.
Shekina has worked for Mortgage Solutions and Specialist Lending Solutions for almost five years. Here, she covers the market’s breaking news stories, engages with professionals in the sector, and oversees any commercially agreed content in partnership with mortgage-related companies.
This includes presenting webinars and hosting roundtable discussions on developing themes in the mortgage sector.
She is an NCTJ-trained journalist and was nominated for the Headline Money Awards Mortgage Journalist of the Year in 2021.
In her spare time, Shekina likes to read, travel, listen to music and socialise with friends.
She currently reports on current events in the mortgage market and liaises with financial clients to produce sponsored content.
Follow her on Twitter at @ShekinaMS
