Two-year fixes rising in popularity among borrowers

December 12, 2025 by Brendan O'Neill

Borrowers

The number of borrowers who were searching for two-year fixed rate mortgages rose during November, with these loans accounting for more than half of the searches.

That finding is taken from figures that were released by Moneyfacts, which show that 53% of product searches during the month were for two-year fixes. It is part of a wider trend towards deals with short-term fixed rates, particularly among those buying for the first time. Roughly 70% of first-time buyers were searching for two-year fixes in November, while 21% of them were choosing loans with five-year fixed rates.

It was a similar story when it came to those looking for remortgaging products. 62% of borrowers in that category were looking for fixed rate deals of two years and 11% preferred a three-year fixed loan.

Things were a little different among people who were buying for the second time though. In this category, one third of borrowers were searching for fixed five-year mortgages. Meanwhile, 12% were on the lookout for deals with fixed rates for a 10-year period. That is the longest fixed rate mortgage deal that it is possible to get.

Moneyfacts head of news is Adam French. He spoke to Mortgage Solutions, saying that the interest in short-term fixes was unsurprising, because rates are expected to go down. He then went on to add:

“Despite this, second-time buyers appear to be prioritising stability, predictability and protection from potential rate volatility over cheaper rates.”

This is something for mortgage advisors with CeMAP training to bear in mind when looking for products.