Mortgage rates have hit a 15 year high today according to Moneyfacts, the average 2 year fixed rate is sitting at 6.7% with the average 5 year fixed rate now 6.2%.
The cost of fixed rates have increased sharply over the past few weeks following the UK’s inflation figures not reducing at the rate that they were expected to earlier this year. The Bank of England has increased the Base Rate from 0.1% in December 2021 to its current position today at 5%, they have increased this to try to bring inflation back down to their target of 2% (currently 7.1%).
The majority of lenders will allow you to secure a new product up to 6 months prior to the end of your existing rate. If your fixed rate is expiring between now and the end of the year, it is important that you get the correct advise and review what options are available to you.