The latest figures released by Moneyfacts show that average rates for fixed mortgage loans have risen to a level that is the highest they have been in over half a decade.
This report from Moneyfacts reveals that mortgage rate rises are a major factor across the market, with the average ones for a fixed two-year loan now being 2.86%. That is the highest average rate level for a mortgage of that sort since the summer of 2015, when the figure stood at 2.87%. The past month has seen fixed two-year rates go up by 0.21%.
There has also been a sharp rise in average rates for fixed five-year loans, which currently stand at 3.01%. This is the highest that they have been since the 3.02% figure recorded during the autumn of 2016, with the monthly increase for them being 0.13%.
There is currently just 0.15% difference in average rates for two and five-year fixed rate mortgages, which is the narrowest difference in nearly a decade.
At the same time as rates are going up, products are remaining available for less time than ever. The average period of availability for a mortgage product is 21 days, equalling the shortest ever period.
Eleanor Williams from Moneyfacts stated that borrowers need to move very quickly once they have found a product that they can afford, to avoid losing out on it.
Borrowers will need help from someone who has the CeMAP mortgage advisor qualification to identify an affordable loan and complete the application while it is available.