The shift in approach ties-in with the remortgage boom which has seen £35bn worth of product maturities across the industry this autumn and expectations of the first Bank of England Base Rate rise for almost a decade.
According to figures from YBS, which includes its broker-facing Accord brand, the ratio of fixed rate to variable rate mortgage applications received has almost doubled in three months.
In August this ratio was 35:1, in September it was 55:1 and in October it has been 64:1.
Yorkshire Building Society senior manager Simon Broadley said: “With increasing speculation that the Bank of England could trigger a rate rise this week, our data indicates borrowers are keen to secure a deal before any potential increase.
“Despite having the lowest ever variable rate mortgage on the market, our findings demonstrate that borrowers value being able to lock-in to a fixed rate deal and know that their monthly payments won’t change during their initial term.”
