Some industry figures suggested that the decision implied that peak of the rate cycle had been reached and mortgage rates could begin with four by the start of next year.
Indeed, Rightmove noted today that it had seen the lowest mortgage rate available within a Loan-To-Value (LTV) bracket dip below 5 per cent for the first time since June (75 per cent and 60 per cent LTV 5-year fixed mortgage).
The lowest rate available for a 75 per cent LTV 5-year fixed mortgage is now 4.94 per cent, while the lowest rate available for a 60 per cent LTV 5-year fixed mortgage is now 4.94 per cent.
Big lenders lowering rates
Several lenders lowered their rates yesterday in light of the base rate change including Nationwide, MPowered Mortgages and TSB.
TSB have cut their two-year fixed house purchase products between 75 and 95 per cent loan to value (LTV by up to 0.25 per cent, three year fixed house purchase and remortgage rates and five-year fixed house purchase rates by around 0.2 per cent,
According to the latest Moneyfacts figures, as of today the average two-year fixed residential mortgage rate stands at 6.56 per cent, a fall from 6.58 per cent yesterday.
The average five-year fixed residential mortgage rate today is 6.06 per cent, a decrease from 6.07 per cent yesterday.
Moneyfacts added that there were currently 5,295 residential mortgage products available, which is up from 5,277 products the previous working day.
On the buy-to-let side, the average two-year buy-to-let residential mortgage rate is 6.46 per cent, down from 6.48 per cent on the prior working day.
The average five-year buy-to-let residential mortgage rate is priced at 6.36 per cent, which is unchanged from yesterday.
The firm continued that there are currently 2,514 buy-to-let mortgage products available. This is up from 2,511 products the previous working day.
The average two-year tracker rate is 6.17 per cent, unchanged from yesterday, and the average standard variable rate is 8.09 per cent.
