Halifax will increase select homebuyer and first-time buyer rates by between one and 1.5 percentage points across two, five and 10-year fixed rate terms.

The changes come into force from Wednesday.

Two-year fixed rates with no fee will start from 5.84 per cent up to 60 per cent loan to value (LTV) and five-year fixed rates with no fee will begin from 5.44 per cent.

The lender’s 10-year fixed rates in its core range will start from 5.34 per cent.

A Halifax spokesperson said: “On 5 October, we’ll be updating the rates on our homebuyer mortgage range. We continue to have a range of fixed rate product terms available up to 95 per cent LTV.

“The new rates reflect the continued increase in mortgage market pricing over recent weeks.”

Last week, Halifax increased its remortgage rates, with new pricing coming into force from Saturday 1 October.

Volatility hits the market

There has been much volatility in the mortgage market over the past week with lenders pausing new lending, withdrawing and repricing products.

According to Moneyfacts, the total residential mortgage count stands at 2,262, a fall of 1,218 since last week.

There has also been widespread pricing across the market, with major lenders like Halifax, HSBC, Nationwide, Virgin Money and Natwest.

Moneyfacts figures show that the average two-year fixed rate as of today was 5.75 per cent, and the average five-year fixed rate came to 5.48 per cent.

This compares to Monday last week, when the average two-year fixed rate came to 4.75 per cent and the average five-year fixed rate was estimated at 4.76 per cent.