According to the latest mortgage market figures from Rightmove, the average five-year fixed mortgage rate is 4.82 per cent, an increase from 4.58 per cent a year ago.
The company added that the average two-year fixed mortgage rate stands at 5.19 per cent, up from 4.95 per cent from the same period a year ago.
The average two-year fixed rate at 60 per cent LTV is 4.65 per cent, with the lowest coming to 4.46 per cent. It compares to an average rate of 4.22 per cent.
The average five-year fixed rate is priced at 4.33 per cent, with the bottom-most rate pegged at 4.13 per cent. The average rate a year ago was 4.22 per cent.
Going up to 75 per cent LTV, the average two-year fixed rate is 5.04 per cent and the lowest rate is 4.59 per cent. The average rate a year ago was 4.74 per cent.
The average five-year fixed rate at 75 per cent LTV is 4.72 per cent, with the cheapest rate standing at 4.29 per cent. The average rate a year ago was 4.34 per cent.
At 85 per cent LTV, the average two-year fixed rate is 5.18 per cent and the lowest rate is 4.79 per cent. The average two-year fixed rate last year was 4.99 per cent.
The average five-year fixed rate is 4.75 per cent and the bottom-most rate is 4.32 per cent. The average five-year fixed rate in the same period last year was 4.62 per cent.
Within the 90 per cent LTV tier, the average two-year fixed rate was priced at 5.38 per cent and the average five-year fixed rate is 4.94 per cent. The lowest rates respectively were 4.99 per cent and 4.58 per cent.
The average two-year fixed rate was 5.3 per cent and the average five-year fixed rate is 4.83 per cent.
At 95 per cent LTV, the average two-year fixed rate stands at 5.8 per cent and the average five-year fixed rate comes to 5.4 per cent.
The bottom-most rate for a two-year fixed rate is 5.2 per cent and 4.99 per cent for a five-year fixed rate. The average rates respectively a year ago were 5.58 per cent and 5.11 per cent.
Rightmove added that the average monthly mortgage payment on a typical first-time buyer-type property when taking out an average five-year fixed, 85 per cent LTV mortgage stands at £1,089 per month, a rise from £1,068 per month a year ago.
‘Broader review of current regulation’ needed
Matt Smith, Rightmove’s mortgage expert, said: “The relative stability of the mortgage market at the start of this year appears to have helped give more movers confidence.
“However, ahead of the Spring Budget tomorrow, demand has been slowest to pick up in the typical first-time buyer home sector. After demonstrating resilience and determination last year, the early signs are that first-time buyers are most in need of some additional support, as mortgage rates have fluctuated over the last few weeks, and prices remain near record levels.”
He continued: “Whilst we felt the 99 per cent mortgage scheme idea would have only been able to help a very limited number of future first-time buyers, it could have played a role as part of a broader set of considered measures.
“Even if there is limited news in the Budget tomorrow, we hope that the government listen to the growing number of voices calling for a broader review of current regulation, in the context of broader innovation in the market that is all intended to help support first-time buyers get on to the ladder.”
