- Lenders have withdrawn over 1,000 sub-5 per cent mortgage deals over the past month as rising swap rates and inflation fears push up borrowing costs.
- According to Moneyfacts, the average five-year fixed mortgage rate reached 5.95 per cent on 1 October, marking its highest level in three years.
- Experts are advising homeowners needing a new mortgage deal to lock in a fixed rate as early as possible to avoid further expected price increases.
- Higher mortgage rates are dampening buyer confidence and slowing house price growth, with UK property now losing real value when adjusted for inflation.
- The increased cost of borrowing is expected to keep prospective buyers in the private rental sector, maintaining strong demand and pushing rent prices higher.
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