UK Fixed Mortgage Rates Hit 5.68% as Swap Volatility Tightens Lenders' Margins
Updated
Updated · Yahoo Finance UK · Sep 7
UK Fixed Mortgage Rates Hit 5.68% as Swap Volatility Tightens Lenders' Margins
3 articles · Updated · Yahoo Finance UK · Sep 7
Summary
Moneyfacts put the average two-year fixed homeowner mortgage at 5.63% on Monday, up from 5.60% on Friday, while the five-year average rose to 5.68% from 5.64%.
Those were the highest readings since Aug. 10 for two-year deals and May 11 for five-year deals, as lenders passed through higher swap rates linked to inflation worries from the Middle East conflict.
Rachel Springall said more repricing could follow in coming days, though the latest moves are still milder than the disruption seen when the conflict first triggered lenders to pull fixed-rate products.
Lloyds separately said UK house prices fell 0.4% year on year in August—the first annual drop since November 2023—adding to signs of a subdued housing market even as lenders still compete for business.