According to data from Moneyfacts, there are 2,371 residential mortgages on the market as of 5 October. This is 113 products higher than the 12-year low of 2,258 deals which were available on 1 October.
However, options fall short of the 2,661 products which still remained on 28 September, the day after mortgage numbers fell by a record 935 overnight.
Rates hit for six
As lenders return to the market, repriced mortgage ranges have put the average rate of a two-year fix at 6.07 per cent and the average rate of a five-year fix at 5.97 per cent as of 5 October.
This is an increase from the start of this month as the data shows two-year fixes had an average rate of 5.43 per cent on 1 October, and five-year fixes were at 5.23 per cent.
According to Moneyfacts, the last time a two-year fixed mortgage had an average rate of six per cent or more was in November 2008, when this sat at 6.31 per cent. As for five-year fixes, the last time average rates were six per cent or higher was in February 2010, when the rate sat at six per cent.
Rates are also significantly higher than they were last month; at the start of September, an average two-year fixed mortgage was priced at 4.24 per cent while a typical five-year fix had a rate of 4.33 per cent.
Compared to the start of October last year, two and five-year fixed mortgages have risen from averages of 2.25 per cent and 2.55 per cent respectively.
‘Withdrawals are temporary’
Rachel Springall, mortgage spokesperson at Moneyfacts.co.uk, said: “Borrowers may well be concerned about the rise to fixed mortgage rates but it is essential they seek advice to assess the deals that are available to them right now. The drop in product availability may be worrying but many lenders have been vocal to stress their withdrawals are temporary amid interest rate uncertainties.”
