Best 5-year fix mortgage drops to 3.75% – will they get cheaper?

14 comments
  1. I think long term, we expect them to go back to 3% to 4%, so yes, quite possibly.

    But you also have to look at the housing market – that probably makes more of a difference at this. It still has potential to go down further.

  2. This is great news. Although I feel sorry for people who got 5 year deals at just the wrong time. Last thing our housing market needed was high interest rates. Let’s hope they keep falling.

  3. Currently, in the process of buying first house, best we’ve managed to get is 4.34% for a 5 year 5 month fix from HSBC for 21% deposit. but that was Just over a week ago on the 10th of Feb.

    I wonder if they are likely to drop much further before all gets settled and finalised as they have already dropped from 4.64% for the same quote in January.

  4. Still waiting for Santander to update, they’re still over 5 & 6%. Reluctant to swap due to the process but may change if it means a cheaper monthly!

  5. We fixed back in September at 3.5% for 5 years, was pretty depressing seeing the rates keep jumping up at the time with nothing we could do. Even so I’m happy to have the stability of 750 a month for the foreseeable.

  6. Last I heard, 5 years were getting better rates than 2 years, which tells me they are expecting rates to drop within 2-4 years.

  7. I have 100k left on 2pc for 8 more months.

    I have the cash to pay it off. Should I?

    Or leave the cash in stocks ISA?

    If there’s a recession then likely my stocks will drop and I’ll still be paying mortgage interest

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