According to Rightmove’s latest mortgage statistics, the average two-year fixed rate at 90 per cent LTV rose by 0.4 per cent to 5.51 per cent and the average five-year fixed rate increased by 0.46 per cent to 5.22 per cent.
The average two-year fixed rate at 85 per cent LTV has gone up by around 0.48 per cent to 5.39 per cent and average five-year fixed rate at 85 per cent LTV has risen by around 0.47 per cent to 5.02 per cent.
Other significant increases occurred at 75 per cent LTV, with the average two and five-year fixed rate increasing by 0.45 per cent to 5.24 per cent and 4.88 per cent respectively.
At 60 per cent LTV, the average two-year fixed rate increased by around 0.34 per cent to 5.07 per cent and the average five-year fixed rate went up by 0.3 per cent to 4.68 per cent.
The average two-year fixed rate at 95 per cent LTV went from 5.74 per cent to 6.01 per cent, whilst its five-year fixed rate equivalent rose from 5.27 per cent to 5.5 per cent.
Rightmove’s mortgage expert Matt Smith said: “We’re now seeing the full impact of the recent inflation numbers coming through, with rates increasing by an average of 0.39 per cent across all LTVs and those with a 10 per cent or 15 per cent deposit hardest hit by these latest rate changes.
“This is a much higher increase than we’ve seen in recent weeks and reflects the uncertainty amongst lenders right now. One factor to keep in mind for those taking out a mortgage soon is that the minimum available rates for each loan size are considerably lower than the average rate, as some lenders try to remain as competitive they can.”
He added that the average mortgage rate for an 85 per cent LTV mortgage stood at 0.47 per cent, the “best-buy” stood at 4.43 per cent.
“This is the first week that we’ve seen average rates of five per cent or more in all LTV brackets since early January. We’ve now seen the majority of lenders change their rates after an initially slow response to the inflation figures, and it’s likely lenders will assess the impact of these changes before making further moves,” Smith noted.
