Mortgage rates keep rising, hitting new seven-month highs, adding to the financial pressures on borrowers, with further rises on the way.
Financial data experts Moneyfacts report that the average 2-year fixed residential mortgage rate has edged higher to 6.23%, up from 6.19% on Friday, the highest level since the chaos in the wake of September’s mini-budget.
The average 5-year fixed residential mortgage rate has inched up to 5.86%, up from 5.83% on Friday, the highest since the end of November.
The higher rates come in the wake of the Bank of England’s increase in interest rates last Thursday, which lifted Bank Rate to a 15-year high of 5%.
Anyone hoping for a quiet week after whatever-the-hell last week was might have to readjust their expectations.
Average 2-y fix now up to 6.23%, say Moneyfacts, remember the post-Truss peak was 6.65% so we're fast heading there. pic.twitter.com/lqbJlbzuQz
— George Nixon (@George_Nixon97) June 26, 2023
Today’s 2-year tracker rate is 5.84%, Moneyfacts report, up from an average rate of 5.66% on Friday.
Meanwhile, George Nixon at The Times also reported that Santander was increasing mortgage rates tomorrow.