As some lenders increase mortgagerates while others trim them, we look at what’s happening with the best mortgage rates in the UK. Read on for the best mortgage rates currently available, best remortgaging deals, best 5 year fixed rate, Buy To Let mortgage deals, green mortgage deals and more.
The best mortgage rates are a mixed picture this month, as some lenders have increased mortgage rates while others have trimmed them back. The moves come as the market adjusts to expectations that the Bank of England will hold interest rates at 4% for longer than previously expected.
When rates are volatile it’s essential to shop around for the best mortgage deal – and to act fast. If you’re remortgaging, you can do this up to 6 months before your current deal ends.
Here are the best current best mortgage rates in the UK by length and type:
Best 2 year fixed rate mortgage
Lender
Rate/ Fees
Monthly payment
APRC
Annual Cost
Santander (Purchase)
3.80% (£749)
£932
6.2%
£11,557
The Cumberland (Remortgage)
3.88% (£999)
£941
6.8%
£11,792
Source: L&C. 6 October 2025. Figures based on £200,000 repayment mortgage over 30 years. Find more about our rates data here
The best 2 year fixed rate mortgage has nudged up for purchases compared to last month when Santander offered a rate of 3.73%. The best 2 year fixed rate mortgage is slightly higher for remortgages compared to last month’s 3.80%. Find more about our rates data here.
But when you’re looking for the best mortgage deals you’ll need to factor in any fees so that you can calculate which is the best mortgage deal overall. A fee-free broker can do this for you.
Best 3 year fixed rate mortgage
Lender
Rate/ Fees
Monthly payment
APRC
Annual Cost
M Powered Mortgages (Remortgage)
3.86% (£1,058)
£939
5.5%
£11,618
First Direct (Purchase)
3.93% (£490)
£947
5.9%
£11,525
Source: L&C. 6 October 2025. Figures based on £200,000 repayment mortgage over 30 years.
While for 3 year fixed rate mortgages in the UK, the best mortgage rates on offer this month have nudged up slightly for remortgages compared to last month’s 3.82%, also from M Powered Mortgages.
The best mortgage rates on purchases have nudged up from last month’s best rate of 3.84% from Nationwide.
Best 5 year fixed rate mortgage
Lender
Rate/ Fees
Monthly payment
APRC
Annual Cost
Santander (Purchase)
3.97%
£951
5.7%
£11,566
Halifax (Remortgage)
3.86% (£1,558)
£939
7.0%
£18,456
Source: L&C. 6 October 2025. Figures based on £200,000 repayment mortgage over 30 years. Find more about our rates data here
The best mortgage rate on a 5 year fixed rate mortgage is slightly higher than the 3.86% rate offered last month for remortgages. While for purchases, the best rate on a 5 year fixed rate mortgage is down slightly compared to last month when NatWest offered a rate of 3.88%.
Best 10 year fixed rate mortgage
Lender
Rate/ Fees
Monthly payment
APRC
Annual Cost
Nationwide (Purchase)
4.45% (£999)
£1,007
5.3%
£12,189
Nationwide (Remortgage)
4.49% (£808)
£1,012
5.3%
£12,227
Source: L&C. 6 October 2025. Figures based on £200,000 repayment mortgage over 30 years.
The best mortgage rates on 10 year fixed rate mortgages in the UK are up compared last month when Nationwide offered a rate of 4.29% for purchases and 4.44% for remortgages.
Best high LTV / first time buyer mortgage rates
The best current first time buyer mortgages for 2 year fixed rate mortgages are:
10% deposit
Lender
Rate/ Fees
Monthly payment
APRC
Annual Cost
Barclays
4.28% (£899)
£987
5.7%
£12,298
Source: L&C. 6 October 2025. Figures based on £200,000 repayment mortgage over 30 years.
5% deposit
Lender
Rate/ Fees
Monthly payment
APRC
Annual Cost
West Brom Building Society
4.74% (£999)
£1,042
6.1%
£13,005
Source: L&C. 6 October 2025. Figures based on £200,000 repayment mortgage over 30 years. Find more about our rates data here
But more mortgage deals are available depending on your deposit size and mortgage term. Read our Best first time buyers mortgage rates guide – we bring you the best current mortgage rates in the UK whatever your deposit size, from 0% to 40%.
Best variable rate mortgages
Lender
Rate/ Fees
Monthly payment
APRC
Annual Cost
Newbury Building Society
4.04% (2.11% discount for 3 years) (£850)
£959
5.6%
£11,797
Source: L&C. 3 October 2025. Figures based on £200,000 repayment mortgage over 30 years.
The lowest mortgage rate in the UK on a variable rate mortgage is the same compared to last month. But bear in mind, the rate you’ll pay on a variable rate mortgage can go up as well as down.
Fixed: Chl mortgages 2.24% 2 year fix. Max LTV 55%. Scheme fees 7%.
Variable: HSBC 4.27% (Base +0.27% for 2 years) Max LTV 60%. Fees £1,999. Purchases only.
Variable: Landbay 4.39% (Base + 0.39% for 2 years) Max LTV 60%. Fees 5%.
With Buy to Let mortgage rates, the best rate on fixed rate mortgages is up compared to last month’s 1.69% 2 year fix from West One. However, that deal had huge fees at 9.99%. Although the lowest rate on a fixed rate Buy to Let mortgage still carries hefty fees so make sure you get advice from a fee-free broker to find the cheapest mortgage deal overall.
The best mortgage rates on variable Buy to let mortgage deals in the UK remain the same this week. However, bear in mind that the rate you’ll pay on a variable rate mortgage can go up as well as down.
If you’ve got savings, could you use them to offset the amount of interest you pay on your mortgage? Here are the best offset mortgage rates available this month:
Yorkshire Building Society’s 2 year fixed rate offset mortgage at 4.27% (max LTV 60%, fee £995, purchases only).
Yorkshire Building Society’s 2 year fixed rate offset mortgage at 4.31% (max LTV 60%, fee £995, for remortgages).
Clydesdale Bank’s variable rate offset mortgage at 5.19% (1.95% discount for 2 years). (Max LTV 80%, fees £999)
The best mortgage rates remain the same as last week for fixed rate offset mortgages. But for variable rate offset mortgages, the best mortgage rate has increased slightly from last week’s deal from Clydesdale Bank which had a rate of 5.19%.
Best Green Mortgages
If you’ve looked into and then dismissed green mortgages in the past, you may want to take another look.
We’ve seen green mortgages become more competitive in recent years in the UK, often offering the best mortgage rates on the market to those who qualify for them. And we expect this direction of travel to continue.
Here’s one of the best green mortgages this month.
NatWest offers a 2 year fixed rate mortgage at 3.90%, available for remortgages up to 60% LTV, fees £995, free basic valuation and £350 cashback.
Available for properties with an Energy Performance Certificate (EPC) rating of A or B.
Lenders have been increasing the best mortgage rates in recent weeks but now the picture is more mixed: HSBC has cut selected fixed rate mortgages while increasing some product transfer deals for existing customers and Buy to Let mortgages.
Principality Building Society has increased rates on some deals while cutting others, meanwhile West Bromwich Building Society has cut the cost of selected fixed rate mortgages for new borrowers.
Governor Andrew Bailey said “we are not out of the woods yet” on inflation, so “any future cuts will need to be made gradually and carefully”.
Expert mortgage broker David Hollingworth from L&C explains: “We are seeing a mixed bag of rate changes now. Plenty of rates are still being edged higher but on the plus side there have also been examples of lenders looking to improve some rates.
“Given the general increase in fixes over recent weeks that may just be lenders readjusting and finding the right price point, as the market steadies.”
However, on the upside, the best mortgage rates are still priced more attractively than in recent years when rates were spiking. David adds: “Our figures show that the top ten lender average 2 year fixed rate at the beginning of this month is at its lowest level since September 2022.
But he warned that “borrowers can’t afford to take their time when there’s still a chance of rates edging higher. Securing a deal will protect against that outcome but still gives flexibility to review before completing if the outlook brightens and mortgage rates ease.”
When there’s volatility in the mortgage market, it’s more important than ever to shop around for the best mortgage deals – and to act fast. If you’re remortgaging, you can do this up to 6 months in advance – and you should certainly do it by 3 months before your current deal ends.
You can apply for a mortgage and lock in a rate then keep it under review with our partners at L&C to make sure you don’t miss out on a better mortgage rate before you need to switch. Get in touch online or on the phone today to kick things off.
How to check if you’re on the best mortgage rate
The easiest way to do this is to use L&C’s Rate Check service – this free service has saved customers nearly £27 million this year to date. Plus, L&C are fee-free, unlike many brokers which charge fees that can amount to thousands of pounds. So you may save even more.
When you’re considering your remortgage options, while the mortgage rates is obviously a key factor, when you’re looking at the best mortgage rates remember to look at the whole picture including any mortgage fees so you can find the cheapest mortgage deal overall.
But don’t worry, a fee-free mortgage broker will do the calculations for you to find the best mortgage deals available.
Experts aren’t currently expecting the best mortgage rates in the UK to come down much further in 2025 due to the reduced likelihood of a further interest rates cut this year. But it’s very difficult to make an accurate mortgage rate forecast as this depends on numerous factors. Read more in our guide on Mortgage rate predictions.
What’s the average mortgage interest rates?
On 4 October 2025, the average 2 year fixed mortgage rate at in the UK was 4.51%, down 0.02% on the previous week and 0.37% lower than a year ago. While the average 5 year fixed mortgage rate was 4.55%, according to figures from Rightmove.
How much is the average standard variable rate?
The average standard variable rate in October 2025 in the UK is 7.42%. The standard variable rate is the default rate you’ll roll onto when your mortgage deal ends. But SVRs vary widely by lender. For example Newcastle Building Society’s SVR is currently 6.50% while Aldermore’s SVR is 8.83%. Read more in our guide Should you ditch your Standard Variable Rate mortgage?
So while the best mortgage rates on offer this month may seem high compared to what has been available in recent years, your lender’s Standard Variable Rate (SVR) could be significantly higher.
Handy tools and calculators
Here’s a selection of practical gadgets and tools to help keep things simple.
If your current mortgage deal ends in the next six months you should act now to find the best mortgage deals. When it comes to finding the best mortgage rates this month, here’s our advice:
Shop around: Whether you’re remortgaging or buying a house, don’t just go to your bank for your mortgage. It’s more important than ever to shop around for the best mortgage rates. Speaking to a fee-free mortgage broker is the quickest and easiest way to find the lowest mortgage rates.
Act now: The best mortgage rates could disappear. But if you secure a remortgage deal several months in advance you’ll have that in the bag while keeping your eye out for other offers before your remortgage date. Speak to a fee-free broker today to explore your options.
Beware of the SVR: However, if you’re on your lender’s standard variable rate, check your deal now to see if you can save by remortgaging as average mortgage interest rates on SVRs have soared over the last few years.
Mortgage rates are the rate of interest charged by a mortgage lender (bank or building society). The interest is charged by the lender as compensation for the money they have lent them in order to purchase a property.
Interest rates are determined by the lender in most cases, and can be either fixed (ie remain the same for the term of the mortgage) or variable (where they fluctuate with a benchmark interest rate). Before you compare mortgages, you need to understand the different types. For more information see what type of mortgage should I get?
How long does a mortgage application take?
A mortgage application usually takes two to four weeks to process. However, factors including how busy the lender is, how straightforward your circumstances are and how quickly you respond to any requests can influence how long it takes for a mortgage to be approved. Find more information in our guide How long does it take to get a mortgage?
Should I only look at the best mortgage rates?
When you’re looking for the best mortgage deal, there’s more to consider than just the best mortgage rates. You’ll also need to factor in any mortgage fees like arrangement fees to make sure you get the best mortgage deal overall. But you don’t need to work this out yourself, a fee-free mortgage broker will crunch the numbers for you and find you the best mortgage deals for you.
What does APRC mean?
APRC stands for Annual Percentage Rate of Charge and shows, as a percentage, the annual cost of a mortgage over its lifetime. It incorporates all relevant charges (including fees) that relate to the mortgage borrowing. This is useful when comparing the best mortgage rates.
Most trackers track the Bank of England base rate. So an increase to the base rate means your monthly mortgage payments will increase. And if the base rate decreases, so will your mortgage payments.
Discount rate mortgages
Your rate is a discount on the lender’s own standard variable rate (SVR). If the base rate changes, your lender can decide whether to pass on any or all of the increase/ decrease.
Your lender sets the amount you pay. If the base rate changes the lender can decide whether to pass on any or all of the increase/ decrease. These mortgages can be extremely expensive.
Should I remortgage now?
Yes. If your current mortgage deal ends in the next 6 months, and certainly if it ends in the next 3 months, you should start the remortgage process now to secure a rate. You can then use L&C’s Rate Check service to keep the rate under review in case a better rate comes up before you need to switch.
Being ready with your next move before your current deal comes to an end also means you’ll avoid your mortgage rolling onto your lender’s Standard Variable Rate which are averaging an eye-watering 7.42%. Read our guide Should I remortgage now?
Help finding the best mortgage deals
The best mortgage deals in the UK are not only about the best mortgage rates, you need to consider whether the mortgage term is right for you, arrangement fees and more.
To get a better idea of the best mortgage for you and the cheapest mortgage rates in the UK, use the online mortgage service provided by fee-free mortgage brokers L&C.
L&C can find the best mortgage rates for you over the phone, or you can do it yourself in real-time online. Whichever you choose they can help search the market to find you the best mortgage deals available, see if you qualify and even help you apply online, doing all the legwork to get you your mortgage offer.
How much deposit do I need for a mortgage?
It’s possible to get a mortgage without a deposit, these are called 100% mortgages. But by saving a deposit of at least 5% and ideally at least 10% you’ll have access to more lenders and usually better mortgage rates too.
While the best mortgage rates are usually reserved for people with a deposit of at least 40%. This may be a cash deposit if you’re buying your first home or this could be equity in your home if you’re remortgaging.
Comparison of how deposit amount affects mortgage rates
Here’s an example of how much you’ll pay on a mortgage if you have a 40% deposit compared to if you have a 10% deposit. These examples are based on the best mortgage rates when taking out a £200,000 2 year fixed rate mortgage over 30 years.
However, these examples only take into account the mortgage rate, not any fees you may pay like arrangement fees. To get a better understanding of the overall costs, speak to a mortgage broker who will crunch the numbers for you.
This depends on the rate you’re currently paying vs the best mortgage rates you can get today.
If you’re coming off a cheap fixed rate mortgage, you’ll pay more for your mortgage in 2025. In fact, more than 350,000 households who took out low cost fixed-rate mortgages five years ago during Covid are expected to see their costs jump this winter as they reach the end of their deals, according to analysis by the bill management app Nous.
But if this includes you, don’t put off remortgaging because your costs could shoot up by much more if you do nothing and roll onto your lender’s standard variable rate when your current deal ends.
You’ll pay less on your mortgage in 2025 if your current mortgage deal is ending soon and you took it out when mortgage rates were higher and you can get a better rate now.
What does LTV mean?
LTV stands for loan-to-value, and tells you what percentage of the home’s value is borrowed. The best mortgage rates are usually available to those with an LTV of 60% or lower.
Pay a fixed rate during your initial term, usually 2, 3, 5 or 10 years. Your monthly mortgage payments won’t increase if interest rates rise, but you won’t pay less if they fall either.
Tracker mortgages
The rate you pay goes up and down in line with the base rate. So if the Bank of England cuts interest rates, your mortgage payments will go down. But if it hikes interest rates, your mortgage payments will go up.
Discounted variable rate mortgages
Discounted variable rate mortgages track under the lender’s standard variable rate. So your rate may go up or down, depending on any changes the lender makes to its standard variable rate.
Standard variable rate
Your lender sets the mortgage rate you pay. If the base rate changes the lender can decide whether to pass on any or all of the increase/ decrease. These mortgages can be extremely expensive.
At HomeOwners Alliance the best mortgage rates in our tables are from fee-free mortgage brokers L&C and updated regularly. These best mortgage rates do not take into account fees and are for illustration only. The average mortgage rate figures we use are from sources including Rightmove and Moneyfacts.
Frequently Asked Questions
Are five year fixed rate mortgages a good idea?
Five year fixed rate mortgages have the benefit of having certainty over your payments for the next five years. But it could mean you miss out on better mortgage deals in the meantime. So it’s a good idea to chat through your options with a fee-free mortgage broker – they’ll explain the best mortgage rates available too.
What is a good mortgage rate?
On 4 October 2025, the current average mortgage interest rate on a 2 year fixed rate mortgage at 60% LTV is 3.98%. In comparison, the best rate on a 2 year fixed rate mortgage in October 2025 is Santander’s 2 year fixed rate mortgage at 3.80% (Max LTV 60%, fee £1,749). Purchases only.
Fixed or variable mortgage – which is best?
If you’re looking at the current best mortgage rates in the UK, choosing between a fixed and variable deal such as a tracker mortgage can be a tough decision when interest rates are expected to fall. Read our guide on Understanding mortgage types and what one you need.
Is my fixed rate mortgage coming to an end?
To check when your current fixed rate mortgage finishes, you’ll need to check your paperwork or contact your lender. It’s a good idea to start the remortgage process up to 6 months before the end of your current deal.
I’m selling: How do I find the best estate agent?
Start by using our Best Estate Agent Finder tool, which compares fees, the average time to sell a property like yours, how often they achieve the asking price and how successful they are at selling similar homes. You may consider using an online agent. Check out our online estate agent comparison table.
Can you apply for a mortgage before finding a house?
You can’t make a full mortgage application until you’ve had an offer accepted on a house but you can get a ‘mortgage in principle‘ before finding a house. With mortgage brokers L&C, you can get a personalised Decision in Principle in a matter of minutes. And unlike some other lenders, it won’t impact your credit score.
How much is my house worth?
When you remortgage the lender carries out a mortgage valuation. But how do you know that paper based survey is accurate? It’s a good idea to also get your own online instant house valuation for free, and then if you’ve had work done to your home an estate agents valuation too. See how to value my property before remortgaging for more information.
See the deals you qualify for and how much you could borrow
HomeOwners Alliance Ltd is registered in England, company number 07861605. Information provided on HomeOwners Alliance is not intended as a recommendation or financial advice. Mortgage service provided by London & Country Mortgages (L&C), Unit 26 (2.06), Newark Works, 2 Foundry Lane, Bath BA2 3GZ, authorised and regulated by the Financial Conduct Authority (FRN: 143002). The FCA does not regulate most Buy to Let mortgages. Your home or property may be repossessed if you do not keep up repayments on your mortgage. If you complete on a mortgage through L&C, L&C will be paid a commission by the chosen lender. L&C will share a percentage of this commission with HomeOwners Alliance, the referring third party. The commission L&C receives doesn’t affect the product or rate recommended to you.
