Mortgage lenders increase fixed and tracker rate pricing but five-year fixes still available from 4.40%

by Aaron Strutt

Apr 29 2024

Banks and building societies have been raising mortgage rates over the last month increasing the cost of borrowing.

Halifax has just raised its first-time buyer, home mover and remortgage rates by 0.2% and Barclays has pushed up its rates twice in seven days. HSBC raised some mortgage rates by 0.24% and TSB has increased many of its products by up to 0.35%.

Nationwide Building Society, Santander and NatWest have also announced price hikes of around 0.25%. 

Aaron Strutt, product director at Trinity Financial, says: “Many borrowers are taking two-year fixes because they think rates will get cheaper over the near term. Lots of borrowers are also opting for five-year fixes because they tend to be more competitively priced, but lenders also regularly issue larger loans with longer-term fixes. Two-year fixed rates start from 4.6% and five-year fixes from 4.40%.”

While rates have gone up there are still some decent ones to choose from. Click here to view our latest large mortgage loans best buy table.

Will mortgage rates come down soon?

The Bank of England is still sending mixed messages about exactly when the base rate will be lowered from 5.25%, and without a reduction, mortgages may not reduce in price.

A member of the Federal Bank has reiterated that US inflation is coming down very slowly, and they are not in a hurry to cut interest rates. European Central Bank policymakers have also stated that a June interest rate cut may not necessarily be followed by a series of rate cuts.

Call Trinity Financial on 020 7016 0790 to secure a mortgage, book a consultation, or complete our mortgage questionnaire. 

The information contained within was correct at the time of publication but is subject to change.

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