The weekly mortgage tracker from Rightmove noted that the average rate for a five-year fixed rate at 85% loan to value (LTV) has increased by 0.15 percentage points over the last week to 5.65%. The average rate on products over the same term, but at 60% LTV, has increased by the same margin to a typical 5.41%. 

By comparison, the average rate for such products a year ago stood at 3.49% and 3.31% respectively.

The Rightmove tracker found that it is a similar story on two-year fixed rates. Borrowers with a 15% deposit face an average rate of 6.06%, up by 0.13 percentage points over the week, while for those at 60% LTV the average rate is now 5.81%, which is up by 0.14 percentage points on last week.

‘Speak to a broker’

Matt Smith, mortgage expert at Rightmove, noted that while mortgage rates are continuing to increase, the pace of increases is slowing.

He added that it was important for borrowers to understand that while average rates are helpful for giving an indication of mortgage trends, there will be borrowers who are eligible for more competitive rates.

He said: “This demonstrates that in the current market it’s important that those thinking of taking out a mortgage speak to a mortgage broker who can help them choose the best deal for their individual circumstances.”

Separate research from Moneyfacts suggested that average rates on two- and five-year fixed rates have now passed the 6% milestone.