Weekly rate watch: All prices climb | Mortgage Strategy

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The average rate for all fixes ticked up this week, Moneyfacts data shows.

For a two-year fix, the average rate increased 3 basis points to 3.08%, while the average rate for a three-year fix moved 3 basis points in the same direction, to 3.05%.

At the same time, the average rate for a five-year fix grew 2 basis points to 3.22% and the average rate for a 10-year fix also went up by 2 basis points, to 3.25%.

Two-year fixes

At 95% LTV, the average rate moved only slightly, increasing by 1 basis point to 3.33%.

However, there was a bigger move at 75% LTV, where a 7 basis point jump saw the average rate come to 3.01% while at 65% LTV, the average rate leapt up by 35 basis points, giving a price of 3.35%.

Three-year fixes

Here, the average rate for a 95% LTV mortgage ticked up by 2 points, to 3.25%.

Within the majority of LTV categories, the average rate went up by 4 basis points – occurring at 90% LTV, 85% LTV, 80% LTV, and 75% LTV.

The most significant change happened at 65% LTV, however, where the average rate increased by 9 basis points to 3.65%.

Five-year fixes

Rate changes conspired to buck the trend at 95% LTV at this fix – here, the average rate dropped 2 basis points, to 3.46%.

Other that this, the most noteworthy change took place at 65% LTV, which saw its average rate increased by 25 basis points, to 3.56%.

10-year fixes

At 80% LTV, the average rate lifted by 3 basis points to 2.97%.

And at 75% LTV and 60% LTV, the average rates moved up by 4 basis points apiece, to 3.04% and 3.18%, respectively.

Moneyfacts finance expert Eleanor Williams says: “In the aftermath of last week’s base rate rise, as may well be expected, increases to standard variable and revert rates have continued apace this week, with updates coming from providers including Halifax and Lloyds, TSB, Post Office Money and Aldermore, amongst others. Also applying increases to variable tracker rates were Nationwide Building Society, TSB and Skipton Building Society.

“Overall average fixed rates have broadly continued their ascent too, with rate rises coming from lenders such as Newcastle Building Society where selected fixed deals were increased by as much as 0.50% and Accord Mortgages where fixed rates were increased by up to 0.36% (as well as discounted rates rising by 0.08%).

“Coventry Building Society has made rate rises across various fixed and tracker rates in its range of up to 0.31%, while Nationwide Building Society put up selected fixed products by up to 0.30%. Virgin Money made a couple of changes this week, which included applying increases of up to 0.23% to selected products and amending their intermediary offerings.

“Other changes included Progressive Building Society bucking the trend and applying reductions of 0.55% to the majority of its discounted variable rates (excluding self-build). We also saw Nottingham Building Society make a variety of changes to its range this week, where in addition to launching and withdrawing different products, it also included rate increases on a couple of five-year fixed rate deals at 95% loan-to-value in one of the updates.

“Total product availability has taken a bit of a dip this week as a number of providers have pulled various offerings from sale, including Cumberland Building Society withdrawing products that carried a £1,999 fee and Reliance Bank, which has also temporarily withdrawn their range.”


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