The average three-year mortgage rate fell during the first week of the year, going from 2.78 per cent to 2.75 per cent.

Meanwhile, the average five- and 10-year rates lost 1 basis point each, leaving them at 2.70 per cent and 2.84 per cent, respectively.

The average two-year fix was static, remaining at 2.52 per cent.

Two-year fix

It was a quiet week here, with the biggest change occurring at 50 per cent LTV, where the average rate shed 4 basis points, moving from 2.09 per cent to 2.05 per cent.

At 85 per cent LTV and 80 per cent LTV, the average rate dropped from 3.12 per cent to 3.10 per cent and 2.72 per cent to 2.70 per cent, respectively.

Three-year fix

At 60 per cent LTV the average rate fell by a significant amount, going from 2.44 per cent to 2.35 per cent. The second biggest change happened at 75 per cent, where the average rate fell from 2.38 per cent to 2.34 per cent.

There was a move upwards at 85 per cent LTV, however, where the average rate moved from 3.02 per cent to 3.03 per cent.

Five-year fix

Here things moved only slightly, too. The largest movement was 3 basis points and occurred at 50 per cent LTV, with the average rate dropping from 2.48 per cent to 2.45 per cent.

Further changes were limited to falls of 2 basis points – at 80 per cent LTV, which ended the week with an average rate of 2.86 per cent and at 65 per cent LTV, with an average rate of 2.36 per cent.

10-year fix

At 85 per cent LTV the average rate lost a single basis point to end at 3.53 per cent and at 80 per cent LTV the story repeated, ending the week at 2.88 per cent.

Moneyfacts financial expert Eleanor Williams comments: “We start the New Year with further positive improvement in choice for borrowers with 10 per cent deposit or equity, as Coventry Building Society joins those lenders who have relaunched deals in the 90 per cent LTV sector.

“Barclays Mortgages also made some notable updates to its range which, as well as rate and incentive amendments, included the launch of new two-year fixed rates at 90 per cent and making its existing 90 per cent LTV offerings available to ‘next-time’ house purchase customers as well as first-time buyers.

“This week has also seen an update from Halifax who, amongst other changes, launched a range of fixed rate deals without a fee for those purchasing, while lenders such as Yorkshire Bank, Foundation Home Loans and Yorkshire Building Society made rate reductions to selected products, with the latter dropping some rates by up to 0.75 per cent.

“While the stamp duty holiday deadline looms and the market remains changeable, those hoping to secure a new mortgage would do well to seek advice and support from a qualified, independent adviser to explore their options.”