Average rates went up at all fixes again this week, continuing the trend seen since for a month now.
The average two-year fix rose from 2.20 per cent to 2.22 per cent, the three-year fix from 2.44 per cent to 2.50 per cent, and the average five-year fix from 2.44 per cent to 2.48 per cent.
The 10-year fix increased too, moving from 2.65 per cent to 2.69 per cent.
Two-year fixes
The highest LTV bracket where rates changed here was at 65 per cent LTV, with average rate moving from 1.68 per cent to 1.78 per cent.
Meanwhile, at 85 per cent LTV, the rate increased from 2.55 per cent to 2.59 per cent.
A basis point rise of the same amount was also seen at 75 per cent LTV, where the rate increased from 2.06 per cent to 2.10 per cent.
Elsewhere rate changes were minimal.
Three-year fixes
At 65 per cent LTV the average three-year fixed rate shot up from 1.79 per cent to 1.99 per cent.
Another big movement was spotted at 75 per cent LTV, where a rate increase from 2.21 per cent to 2.34 per cent was recorded
Other limited to rises of 0.04 per cent.
Five-year fixes
The biggest rise here occurred at 65 per cent LTV, with a 9 basis point rise seeing the average rate go from 1.89 per cent to 1.98 per cent.
At 85 per cent LTV the average rate rose from 2.77 per cent to 2.83 per cent and at 75 per cent LTV, from 2.28 per cent to 2.33 per cent.
10-year fixes
The average rate increase here was driven by the 65 per cent LTV average rate growing from 2.28 per cent to 2.44 per cent.
Changes elsewhere in this fixed rate bracket were limited to 0.02 per cent.
Moneyfacts finance expert Eleanor Williams says: “While demand for mortgage borrowing is reported to remain strong, the average rates have continued to edge upwards. Rate increases have been seen this week from a number of providers; TSB has made a selection of rate increases of up to 0.55 per cent, both Halifax and Skipton Building Society have, amongst other changes, made rate increases of up to 0.30 per cent on some products, whilst Barclays has also made various updates to its range, which included rate rises of up to 0.25 per cent on selected deals.
“Beleaguered first-time buyers had some positive news this week, with Virgin Money returning to the 90 per cent LTV sector with a handful of seven- and 10-year fixed rate deals. Available to FTBs and with a maximum term of 25 years, these longer-term fixed rate options would provide new borrowers with protection from potential further rate increases over the initial term, and a stable monthly payment which they could budget to.
“West Brom Building society has launched new products this week, including discounted variable rates at up to 85 per cent LTV, and Dudley Building Society have resumed lending, with its first tranche of new products including 75 per cent LTV fixed and discounted variable rates.
“The mortgage market remains a very fluid place, with changes to lending and underwriting criteria continuing apace, and therefore making the support and guidance of a qualified adviser invaluable in securing the best mortgage option for a borrower’s circumstances.”
