Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

Five-year mortgage rates average 6% for first time since Truss fiasco

by July 4, 2023
July 4, 2023
Five-year mortgage rates average 6% for first time since Truss fiasco

The average five-year, fixed-rate mortgage has topped 6 per cent for the first time since November as banks and building societies continue to push up rates.

Five-year fixes have risen from 4.97 per cent to 6.01 per cent between the start of May and today, according to the financial data analyst Moneyfacts, adding £1,488 a year to repayments on a typical 25-year mortgage worth £200,000.

It is the first time the average rate has reached 6 per cent since November 21, in the aftermath of the Liz Truss mini-budget that sent borrowing costs soaring. Before that, rates had not been so high since December 2008, in the heat of the financial crisis.

Rates have shot up over the past two months on the back of consumer price inflation that eclipsed expectations. The rate has remained stuck at 8.7 per cent in successive months, the Office for National Statistics said.

This has fuelled expectation that the the Bank of England will again increase the base rate, presently 5 per cent, and keep it higher for longer. The base rate has risen 13 times since an all-time low of 0.1 per cent in December 2021. These expectations of future Bank of England rates, called swap rates, are used by banks to price fixed-rate mortgages.

Five-year mortgage rates are below two-year rates, which now average 6.47 per cent, because of the expectation that rates will fall away in time. Two-year fixed rates peaked at 6.65 per cent on October 20.

Read more:
Five-year mortgage rates average 6% for first time since Truss fiasco

0
FacebookTwitterGoogle +Pinterest
previous post
Today’s most influential generation(s): a fresh look at the consumer behaviours of Gen Z and millennials
next post
Moving in a Hurry: How to Make It Happen on a Tight Deadline?

You may also like

How Technology Enhances the World of Dating

June 18, 2024

What to Look for When Comparing Non-GamStop Casinos...

December 30, 2022

Amazon workers stage first British warehouse strike in...

January 25, 2023

Why a Structural Warranty is Important for Homeowners:...

March 8, 2023

White Label for Neobanks: How to Accelerate the...

May 12, 2024

One-third of bosses shelve generative AI plans after...

April 8, 2024

Pret A Manger leads high street coffee price...

August 15, 2024

Royal Mail boss Simon Thompson to step down

May 15, 2023

7 Forex Trends and Predictions to Watch in...

August 12, 2024

Can Gambling Regulators Combat Crypto Payments Entering The...

March 26, 2025

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Republican senator claims RFK Jr. mRNA vaccine decision undermines Trump agenda

      August 7, 2025
    • Who is Anita Dunn? The Biden confidante who clashed with Hunter grilled in House autopen probe

      August 7, 2025
    • Case v. Montana Brief: Limit Loopholes to the Fourth Amendment

      August 7, 2025
    • Trump opens $9tn US retirement market to crypto in landmark executive order

      August 7, 2025
    • What Should We Learn from China’s Nuclear Construction Costs?

      August 7, 2025
    • Closing the Primary Care Gap

      August 7, 2025

    Categories

    • Business (8,704)
    • Investing (2,182)
    • Politics (16,333)
    • Stocks (3,228)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved