London-based mortgage brokers with a track record of providing expert mortgage advice

NatWest and HSBC are the latest major mortgage lenders to improve their rates, providing some welcome relief for homebuyers and borrowers looking to remortgage.

The latest cuts mean more banks and building societies are offering fixed-rate mortgages below 5%, although borrowing costs remain higher than many customers would like.

After several weeks of rising mortgage rates, competition between lenders appears to be increasing again. NatWest, HSBC and other banks are lowering selected rates, with further announcements potentially on the way.

Mortgage lenders are approaching the end of the year, and while wholesale funding costs have increased, they still need to attract new business and build their lending pipelines for a strong start to 2027.

Slower housing market conditions could also encourage more competitive mortgage pricing.

NatWest returns to the sub-5% fixed-rate mortgage market

NatWest is reducing selected mortgage rates, with its new deals including a sub-5% five-year fix. The changes mean NatWest is rejoining the relatively small group of major lenders offering fixed-rate mortgages below 5%.

These changes are welcome news for borrowers searching for competitive mortgage deals, although rates remain considerably higher than many homeowners had hoped to pay.

HSBC mortgage rates set to fall below 5%

HSBC is also cutting selected mortgage rates from Thursday 15 October.

Before the changes, HSBC's lowest rates included two-year fix and five-year fix just over 5%.

Although HSBC has not confirmed the exact reductions in advance, its latest announcement suggests its most competitive mortgage rates could move back below 5%, particularly for borrowers with larger deposits or substantial equity.

The bank is reducing selected residential and buy-to-let mortgage rates, which should also provide more options for landlords.

Which mortgage lenders are offering the cheapest fixed rates?

Several leading mortgage lenders are competing for borrowers with larger deposits, particularly those requiring mortgages at 60% loan-to-value.

Examples of competitive mortgage rates include:

Source: Trinity Financial. HSBC rates shown before its announced reductions. Rates are subject to eligibility, deposit requirements and product fees..

Barclays still offering a sub-4% two-year tracker mortgage

While fixed rates have been attracting attention, tracker mortgages remain significantly cheaper in some cases.

Barclays continues to offer a two-year tracker mortgage at just below 4%, which could appeal to borrowers comfortable with variable monthly repayments.

Trackers may be particularly attractive to borrowers with larger deposits who do not want to lock into a fixed rate for two or five years.

However, tracker mortgage rates can increase if the Bank of England raises its base rate, making them less suitable for borrowers who require certainty over their monthly payments.

Will mortgage rates continue falling towards the end of 2026?

The latest reductions are encouraging, particularly after the sharp increases in fixed mortgage rates during September.

However, the outlook remains uncertain. Higher wholesale funding costs, speculation about further Bank of England base rate increases and the ongoing conflict involving Iran continue to create challenges for mortgage pricing.

Competition may still encourage lenders to reduce selected rates, particularly if housing market activity remains subdued.

There are now numerous mortgage products available at rates well below 6%, but a sustained return to significantly cheaper fixed-rate mortgages is far from guaranteed.

Trinity Financial mortgage market comment

Aaron Strutt, Product Director at Trinity Financial, says: "We knew a few lenders were preparing to reduce their mortgage rates this week, and there may well be further announcements following these price cuts.

"It has been unusually quiet in the mortgage market recently, with fewer changes from the big banks and building societies. The latest reductions from NatWest and HSBC are certainly a step in the right direction.

"We are getting closer to the end of the year, and although funding costs have clearly increased, mortgage lenders still need to issue loans and build their pipelines for a strong start to 2027.

"Hopefully, increased competition and slower housing market conditions will encourage more lenders to cut their rates.

"While it is encouraging to see more fixed-rate mortgages below 5%, these deals are still much more expensive than many borrowers would like. With uncertainty surrounding interest rates and international events, it is difficult to predict how much cheaper mortgages will become."

Looking for the cheapest mortgage rates?

Trinity Financial's mortgage brokers compare rates from major banks, building societies and specialist lenders to help borrowers find competitive mortgage deals.

Whether you are buying your first home, moving property or remortgaging, our brokers can assess fixed and tracker mortgage options, including preferential deals for higher earners and borrowers requiring larger mortgage loans.

Representative example: A capital and interest repayment mortgage of £400,000 payable over 30 years, initially on a fixed rate of 4.99% until 2 January 2029, followed by Santander's standard variable rate, currently 6.50%, for the remaining mortgage term. The 4.99% fixed rate would require 25 monthly repayments of £2,148.34, followed by 335 monthly repayments of £2,513.26 at the current standard variable rate. The total amount repayable would be £896,060.35 made up of the loan amount, plus interest (£496,504.32). This amount is illustrative and may vary depending on changes to the variable interest rate. The mortgage includes a £999 product fee added to the loan, a £225 mortgage account fee and a £25 completion fee. The overall cost for comparison is 6.4% APRC representative.

Speak to a Trinity Financial adviser today

The mortgage market moves fast — and the right advice can make a significant difference to the rate and deal you secure. Get in touch with our team to discuss your options.

Call Trinity Financial on 0808 1642174 to secure a fixed or tracker rate mortgage, book a consultation, or use our appointment calendar

The information contained within was correct at the time of publication but is subject to change. It is for general information purposes and is not advice.

Most Buy-to-let Mortgages are not regulated by the Financial Conduct Authority’

Your mortgage is secured on your property. Your property may be repossessed if you do not keep up repayments on your mortgage

Coventry for Intermediaries has eased its interest-only mortgage criteria, lowering the deposit requirement from 50% to 25% of the property value.

Coventry has no minimum income requirement to access its interest-only mortgages, but applicants must have sufficient income to support an equivalent repayment mortgage and meet the repayment affordability checks. The maximum term is 40 years, and Coventry does not accept new Interest-only applications on a part/part basis.

For all new Interest-only applications, there must be a minimum of £200,000 equity for properties in all regions outside London and the South East, and £300,000 equity for properties for the ONS administrative regions of London and the South East, remaining at completion of the mortgage regardless of the applicant's chosen repayment plan.

Jonathan Stinton, head of intermediary relationships at Coventry Building Society, said: “We’re continuing to look for ways to give brokers more options when supporting their clients’ homeownership and property goals. By broadening our interest-only criteria, we’re making this option available to a wider range of suitable borrowers.

"These latest changes build on a number of enhancements we’ve made in recent months, all designed to help brokers find the right solutions for their clients.”

Which other mortgage lenders have good interest-only policies?

Coventry Building Society is not the only mortgage lender offering more flexible interest-only borrowing. Several major UK banks and building societies allow eligible borrowers to take out interest-only mortgages with a 25% deposit, while some offer higher loan-to-value limits or flexible options for borrowers with investments, pensions and other properties.

Interest-only mortgages can be particularly attractive to higher earners, homeowners with substantial equity, borrowers arranging £1 million-plus mortgages and clients who want to keep their monthly mortgage payments lower.

Decent interest-only mortgage lenders compared

Source: Trinity Financial

Aaron Strutt, Product Director at Trinity Financial, comments:  “There are more competitive interest-only mortgage options available than many borrowers realise, particularly for those with larger deposits, substantial property equity or investments.

“The key is understanding which lenders accept different repayment strategies. Some will consider the sale of the mortgaged property, while others want evidence of savings, investments or other assets. Comparing these policies can make a substantial difference to the mortgage options available.”

Speak to a Trinity Financial adviser today

The mortgage market moves fast — and the right advice can make a significant difference to the rate and deal you secure. Get in touch with our team to discuss your options.

Call Trinity Financial on 0808 1642174 to secure a fixed or tracker rate mortgage, book a consultation, or use our appointment calendar

The information contained within was correct at the time of publication but is subject to change. It is for general information purposes and is not advice.

Your mortgage is secured on your property. Your property may be repossessed if you do not keep up repayments on your mortgage

Mortgage rates change so often that borrowers risk missing out on competitive deals if they delay applying. New research from Moneyfacts reveals that mortgage products are now available for an average of just 13 days before being withdrawn or repriced. 

The latest Moneyfacts UK Mortgage Trends Treasury Report highlights just how volatile the mortgage market has become in 2026, with lenders regularly increasing and decreasing rates in response to changing funding costs. Moneyfacts data shows there are currently just under 5,400 mortgages to choose from.

For homebuyers and homeowners approaching the end of their current mortgage deals, the findings underline the importance of acting quickly when a competitively priced mortgage becomes available. Over the last two weeks, mortgage lenders have started to lower their rates, so there are more sub-5% fixes available again, but the market can turn around quickly, so these fixed rates could increase again because of the current economic environment and global insecurity 

How quickly are mortgage rates changing?

According to Moneyfacts, the average mortgage product remained available for just 13 days in October 2026, compared with 14 days in September. This is a dramatic change from 2019, when mortgage products typically remained available for 43 days.

Source: Moneyfacts UK Mortgage Trends Treasury Report, October 2026.

Earlier this year, mortgage products were available for an average of just eight days in April, demonstrating how quickly lenders can change their pricing.

The figures do not mean every mortgage is guaranteed to remain available for 13 days. Some of the most competitively priced fixed-rate mortgages can disappear within a few days, or even sooner.

Why are mortgage lenders withdrawing rates so quickly?

Mortgage lenders continually review their rates in response to changes in wholesale funding costs, particularly swap rates, which influence the pricing of fixed-rate mortgages.

Economic uncertainty, inflation expectations, geopolitical developments and changes in financial markets can all affect these costs.

When funding costs rise, lenders often withdraw their cheapest mortgages and replace them with more expensive products. However, when funding costs fall or competition increases, banks and building societies can introduce cheaper deals.

This creates opportunities for borrowers, but also makes it difficult to predict how long an attractive mortgage rate will remain available.

Why should you secure a good mortgage rate when you find one?

Borrowers can spend weeks comparing mortgage rates, waiting for a slightly cheaper deal to appear. However, in the current market, waiting can be costly.

For example, on a £400,000 repayment mortgage over 30 years, an illustrative increase in the interest rate from 4.50% to 4.75% would add approximately £60 to the monthly repayment, or around £1,440 over two years, assuming the rate remains unchanged during that period.

While this may not seem significant, borrowers arranging £750,000, £1 million or larger mortgages could face considerably higher additional costs.

The priority should be finding a mortgage that offers competitive pricing, meets the borrower's requirements and provides suitable flexibility, rather than trying to predict the lowest point in the market.

Can you secure a mortgage rate before you need it?

Many banks and building societies allow borrowers to secure a mortgage offer several months before their existing fixed-rate deal expires, although reservation rules and offer validity periods vary.

This can provide valuable protection against future rate increases.

Importantly, some lenders allow borrowers to switch to a cheaper mortgage product if rates fall before completion, subject to their rules and deadlines.

This means borrowers may be able to protect themselves against rising rates while retaining some flexibility if better deals become available.

Homebuyers can also benefit from arranging their mortgage early, particularly when purchasing properties where the legal process could take several months.

Aaron Strutt, Product Director at Trinity Financial, comments:

"The mortgage market has become incredibly unpredictable, and some of the most competitively priced deals are only available for a matter of days.

"We regularly see lenders announce rate increases with very little notice, particularly when swap rates rise. Borrowers who delay applying can suddenly find the mortgage they wanted has disappeared.

"The good news is that securing a mortgage rate does not always mean borrowers will miss out if cheaper deals become available later. Some lenders allow us to switch clients to lower rates before completion, which can provide useful flexibility.

"Our advice is to start looking at mortgage options early, understand how much you can borrow and be ready to secure a suitable rate when it becomes available. Trying to time the mortgage market perfectly can be a costly gamble."

How Trinity Financial can help secure competitive mortgage rates

Trinity Financial's mortgage brokers compare deals from high street banks, building societies and specialist mortgage lenders to help borrowers find suitable mortgages.

We can help first-time buyers, home movers, remortgage clients and borrowers arranging £1 million-plus mortgages understand their borrowing options and secure competitive rates.

We can also check whether a lender allows a mortgage rate to be changed if a better deal becomes available before completion.

Source: Moneyfacts UK Mortgage Trends Treasury Report, October 2026.

Speak to a Trinity Financial adviser today

The mortgage market moves fast — and the right advice can make a significant difference to the rate and deal you secure. Get in touch with our team to discuss your options.

Call Trinity Financial on 0808 1642174 to secure a fixed or tracker rate mortgage, book a consultation, or use our appointment calendar

The information contained within was correct at the time of publication but is subject to change. It is for general information purposes and is not advice.

Any links to third-party websites are provided for information and convenience purposes only. We are not responsible for the content or availability of external sites

Your mortgage is secured on your property. Your property may be repossessed if you do not keep up repayments on your mortgage

Which lender is offering the most competitively priced fixed mortgages?

Mortgage rates have been increasing again over the last week, but Halifax is still offering higher-earner fixes starting from 4.90%.

Halifax for Intermediaries recently granted brokers like Trinity Financial access to Lloyds Premier current account mortgage rates for eligible borrowers earning over £100,000. The rates undercut many fixed-rate mortgages on the market, and for those earning less than £100,000 the rate is around 4.81%. Many banks and building have increased their rates so they are over 5% now.  

The lender’s most competitively priced rate is fixed at 4.90%, and it has a £999 arrangement fee. Applicants will need a 40% deposit to qualify, and the mortgage is available between £25,000 and £2 million. If you would prefer to take a longer-term fix, Halifax also has a three-year fix priced around 4.85% and a five-year fix priced around 4.90%. These rates also have £999 arrangement fees, and applicants need to earn over £100,000 to qualify.

Trinity Financial’s mortgage brokers have access to Halifax Intermediaries and can check whether borrowers qualify for Lloyds Premier mortgage rates. To be eligible, at least one applicant must hold a Lloyds Premier current account.

New customers may also be able to open a Lloyds Premier current account before applying for one of the mortgage deals, provided they receive their account number and sort code before the broker submits the mortgage application. The process takes around 30 minutes, and the current account should be opened on the same day.

Aaron Strutt, product director at Trinity Financial, says: "It is not always that tempting to open another current account, especially for a mortgage, but Lloyds is making it worthwhile with current account incentives as well as cheaper fixed rates. There is a lot of competition in the market to attract higher earners at the moment."

Representative example: A Halifax capital and interest mortgage of £1,000,000 payable over 30 years, initially on a fixed rate basis at 4.90% until 31-12-2028 and then on the lender's 7.24% standard variable rate for the remaining 28 years. The 4.90% rate would require 25 monthly repayments of £5,307.97 followed by 335 payments of £6,739.56. The total amount repayable would be £2,390,551.85 made up of the loan amount, plus interest (£1,394,838.84) and £999 (product fee), £295 (final repayment charge), £25 (completion fee). The overall cost for comparison is 7% APRC representative..

Speak to a Trinity Financial adviser today

The mortgage market moves fast — and the right advice can make a significant difference to the rate and deal you secure. Get in touch with our team to discuss your options.

Call Trinity Financial on 0808 1642174 to secure a fixed or tracker rate mortgage, book a consultation, or use our appointment calendar

The information contained within was correct at the time of publication but is subject to change. It is for general information purposes and is not advice.

Your mortgage is secured on your property. Your property may be repossessed if you do not keep up repayments on your mortgage

Halifax is the latest major mortgage lender to announce rate cuts, raising hopes that more banks and building societies will reduce their mortgage rates over the coming days.

Santander and Nationwide Building Society are currently among the most competitively priced lenders, with a growing number of fixed-rate mortgages available below 5% again.

Just a few days ago, it looked as though virtually all sub-5% fixed-rate mortgages would disappear following a succession of increases from the UK's biggest lenders. However, the market has changed direction, and at least six lenders are now offering selected fixed-rate deals below 5%, according to Trinity Financial's latest market review.

The sudden turnaround highlights how quickly mortgage pricing can change and why borrowers should continue monitoring rates, even after receiving a mortgage offer.

Halifax announces new mortgage rate reductions

Halifax has confirmed it will reduce selected two, three and five-year fixed-rate mortgages for first-time buyers and homemovers by up to 0.10 percentage points from Friday 9 October.

The reductions follow Santander's decision to lower selected fixed and tracker mortgage rates on Tuesday 6 October.

Halifax is also offering eligible Lloyds Premier customers a 0.20 percentage point discount on selected standard fixed rates, making some of its mortgages particularly competitive for higher earners.

Based on the rates currently available, eligible Lloyds Premier customers can access:

• Two-year fixed rate around: 4.90%

• Three-year fixed rate around: 4.85%

• Five-year fixed rate around: 4.9%

These rates could become even more attractive following the latest Halifax pricing changes, although the final rates will depend on which mortgage products are reduced.

Eligibility criteria, deposit requirements and product fees apply.

Santander brings back more sub-5% fixed-rate mortgages

Santander has also improved its mortgage pricing, with reductions across selected new business fixed and tracker deals from Tuesday 6 October.

The bank is offering some of the most competitive fixed rates, including:

• Two-year fixed rate around: 4.90%

• Three-year fixed rate around: 4.90%

• Five-year fixed rate around: 4.95%

Santander has also reduced selected tracker rates in its product transfer range, although some existing-customer fixed rates have increased.

Why are mortgage lenders cutting rates again?

Fixed mortgage rates are heavily influenced by wholesale funding costs, particularly swap rates, rather than simply following changes to the Bank of England base rate.

Following the sharp increases in mortgage pricing during September and early October, some lenders are now adjusting selected products to compete for new borrowers.

There is also speculation within the mortgage market that other major banks could announce reductions over the next few days.

While this is encouraging news, it does not necessarily mean mortgage rates will continue falling. Market conditions remain volatile, and banks can increase or reduce their pricing at relatively short notice.

Already have a mortgage offer? You could still secure a cheaper rate

One of the biggest mistakes borrowers can make is assuming that once they have received a mortgage offer, they cannot benefit from any subsequent rate reductions.

In many cases, a mortgage broker can request a lower interest rate from the same lender before the mortgage completes.

For example, a borrower who secured a five-year fixed rate at 5.20% may be able to switch to a newly introduced 4.90% product if their lender reduces its rates and they meet the relevant criteria.

This could save a substantial amount of money over the initial fixed-rate period.

The process varies between lenders, and a new product fee, updated offer or further checks may be required. However, it is worth investigating whenever cheaper rates become available.

Borrowers should also be aware that switching to another lender can involve a new application and additional costs, so the overall saving needs to be considered.

Aaron Strutt, Product Director at Trinity Financial, comments:

"The mortgage market has been incredibly volatile, and it is encouraging to see some of the big lenders reducing rates again.

"Just a few days ago, it looked as though virtually all the sub-5% fixed rates would disappear, but Santander, Halifax and Nationwide Building Society are offering borrowers some much-needed competitive options. NatWest also has some sub-5% mortgage options.

"There are rumours that more of the large banks are preparing to reduce their rates, so hopefully we will see further improvements over the coming days.

"This shows why it is so important to keep monitoring mortgage rates even after an offer has been issued. If a lender introduces a cheaper deal before completion, we can often request the lower rate for our clients.

"Borrowers could potentially save thousands of pounds over their mortgage deal simply because their broker continues monitoring the market."

How Trinity Financial helps borrowers secure competitive mortgage rates

At Trinity Financial, our mortgage brokers monitor mortgage rates across a wide range of banks, building societies and specialist lenders.

Whether you are a first-time buyer, moving home or remortgaging, we can help you compare fixed and tracker mortgages, assess lenders' affordability criteria and identify suitable products.

Importantly, our service does not end when your mortgage offer is issued. We can continue reviewing available mortgage rates before completion and investigate opportunities to switch to a cheaper deal where permitted.

Representative example: A capital and interest repayment mortgage of £400,000 payable over 30 years, initially on a fixed rate of 4.99% until 2 January 2029, followed by Santander's standard variable rate, currently 6.50%, for the remaining mortgage term. The 4.99% fixed rate would require 25 monthly repayments of £2,148.34, followed by 335 monthly repayments of £2,513.26 at the current standard variable rate. The total amount repayable would be £896,060.35 made up of the loan amount, plus interest (£496,504.32). This amount is illustrative and may vary depending on changes to the variable interest rate. The mortgage includes a £999 product fee added to the loan, a £225 mortgage account fee and a £25 completion fee. The overall cost for comparison is 6.4% APRC representative.

Speak to a Trinity Financial adviser today

The mortgage market moves fast — and the right advice can make a significant difference to the rate and deal you secure. Get in touch with our team to discuss your options.

Call Trinity Financial on 0808 1642174 to secure a fixed or tracker rate mortgage, book a consultation, or use our appointment calendar

The information contained within was correct at the time of publication but is subject to change. It is for general information purposes and is not advice.

Your mortgage is secured on your property. Your property may be repossessed if you do not keep up repayments on your mortgage

Are tracker mortgages cheaper than fixed rates? Why borrowers are looking at trackers again

Tracker mortgages are attracting more attention as fixed mortgage rates have risen. They are increasingly popular with homebuyers looking to lower their monthly costs, and with homeowners looking to avoid a repayment shock when they remortgage, even if it is on a variable basis and the rate could rise.  

After a series of fixed-rate increases, some of the UK's biggest mortgage lenders are offering tracker mortgages priced noticeably below their comparable two- and five-year fixed deals. In many cases, tracker mortgage rates are around 0.6 to 1.2 percentage points cheaper than fixed rates, depending on the lender, customer eligibility and mortgage product.

The most competitive tracker mortgages are often available to borrowers with larger deposits or higher levels of equity in their homes, typically because lower loan-to-value mortgages can attract cheaper pricing. Borrowers with a 25%, 40% or larger deposit may therefore find some of the biggest differences between tracker and fixed rates. 

Major lenders currently offering competitively priced tracker mortgages include Barclays, Halifax, NatWest, HSBC and Nationwide. 

For borrowers searching for the cheapest tracker mortgage, a two-year tracker mortgage, or wondering whether a tracker mortgage is better than a fixed mortgage, the pricing difference means trackers are increasingly worth considering, particularly if you don't need the security of a fixed deal, especially in these uncertain times.

How much cheaper are tracker mortgages than fixed rates?

Broadly speaking, some of the cheapest tracker mortgages from major banks are currently priced around 4%, while many competitively priced fixed mortgages are around 5% or higher. This means a £350,000 mortgage at 4% over a 30-year term on full capital repayment could cost £1,670.95 each month, rising to £1,878.88 each month on a 5% fixed rate. This difference is £207.93, and we calculated it using our mortgage calculator. 

Borrowers with larger deposits can often access the cheapest tracker pricing, although rates depend on the lender, loan size, property, income, and overall application. 

Based on current pricing, the approximate differences are:

Source: Trinity Financial. These are approximate comparisons based on mortgage pricing available in early October 2026. The lowest rates often target borrowers with larger deposits or more equity. Mortgage rates and lending criteria can change at short notice. 

This means borrowers could potentially start on a mortgage rate around one percentage point lower by selecting a competitive tracker rather than a fixed rate. However, the savings may well be temporary if the Bank of England base rate rises significantly. 

Any initial saving can become particularly significant on larger mortgages, especially where the borrower also has a sizeable deposit and qualifies for a lender's lowest loan-to-value pricing.

Barclays tracker mortgages

Barclays currently has one of the largest gaps between its tracker and fixed mortgage pricing.

For eligible Barclays Premier customers, its tracker is approximately 1.2 percentage points cheaper than its lowest two-year fixed rate and around 1.1 percentage points cheaper than its five-year fix.

The standard Barclays tracker available to non-Premier customers is still approximately one percentage point cheaper than the bank's lowest fixed rates.

The most competitive pricing will often be available to borrowers with lower loan-to-value mortgages and larger deposits.

Why does a larger deposit often get you a cheaper tracker mortgage?

Mortgage lenders generally price loans according to risk.

A borrower putting down a 35% or 40% deposit, for example, is asking the lender to finance a smaller proportion of the property's value than someone putting down 10%.

This lower loan-to-value can result in access to cheaper mortgage products.

That means borrowers with larger deposits, or homeowners with substantial equity when remortgaging, may be able to access some of the most competitive tracker mortgage rates in the market.

However, the lowest rate is not always the cheapest mortgage overall. Product fees, early repayment charges, valuation costs and the flexibility of the deal should all be taken into account.

Tracker mortgage or fixed mortgage: which is better?

There is no single answer.

A tracker mortgage may appeal to borrowers who:

• Have a larger deposit or substantial equity

• Want a lower initial mortgage rate

• Can afford their payments if interest rates rise

• Want the flexibility to switch mortgage products

• Have savings or surplus monthly income

• Do not want to lock into a fixed rate at current levels

A fixed mortgage may suit borrowers who value certainty and want to know exactly what their mortgage payments will be each month.

Aaron Strutt, Product Director at Trinity Financial, says:

"Tracker mortgages are getting much more attention because the pricing difference compared with fixed rates has become difficult to ignore. Across several of the biggest lenders, trackers are around one percentage point cheaper than comparable fixed rates, and some of the cheapest deals are available to borrowers with larger deposits.

"Borrowers with 25%, 40% or more to put down can sometimes access particularly competitive tracker pricing, which can make a substantial difference to the monthly repayment on a larger mortgage. Trackers are not suitable for everyone, though. Borrowers still need to be comfortable that their mortgage payments could increase if the Bank of England raises Base Rate."

Is now a good time to take a tracker mortgage?

Tracker mortgages are arguably more attractive than they have been for some time because of the unusually wide pricing gap with fixed rates.

With Barclays, Halifax, NatWest, HSBC and Nationwide trackers roughly 0.8 to 1.2 percentage points cheaper than some of their fixed-rate alternatives, they are worth comparing carefully.

Whether a tracker is suitable will depend on the mortgage size, income, deposit, attitude towards risk and ability to cope with higher repayments if Base Rate rises.

Trinity Financial's mortgage brokers can compare tracker and fixed mortgages from Barclays, Halifax, NatWest, HSBC, Nationwide and other banks and building societies to establish which option is most appropriate.

Is the Bank of England base rate likely to rise soon?

Potentially, yes. The Bank of England base rate is likely to rise at least once or twice over the next six months, so trackers seem like a good bet for anyone willing to gamble that the base rate will stay low for some time.  In many cases, the base rate will have to rise at least three times before the tracker loses out.

However, if borrowers want to switch to a fix, fixed rates may be higher than the rate they could have secured when they opted for a base-rate tracker, rather than taking one of the two-, three-, or five-year fixed-rate mortgages available previously.   

Most lenders offering competitively priced tracker rates let borrowers switch to a fix at any time with minimal early repayment charges, so homeowners can monitor the market and switch to more attractive fixed rates if and when they become available.  

Representative example: A capital and interest repayment mortgage of £400,000 payable over 30 years, initially on a fixed rate of 4.99% until 2 January 2029, followed by Santander's standard variable rate, currently 6.50%, for the remaining mortgage term. The 4.99% fixed rate would require 25 monthly repayments of £2,148.34, followed by 335 monthly repayments of £2,513.26 at the current standard variable rate. The total amount repayable would be £896,060.35 made up of the loan amount, plus interest (£496,504.32). This amount is illustrative and may vary depending on changes to the variable interest rate. The mortgage includes a £999 product fee added to the loan, a £225 mortgage account fee and a £25 completion fee. The overall cost for comparison is 6.4% APRC representative.

Speak to a Trinity Financial adviser today

The mortgage market moves fast — and the right advice can make a significant difference to the rate and deal you secure. Get in touch with our team to discuss your options.

Call Trinity Financial on 0808 1642174 to secure a fixed or tracker rate mortgage, book a consultation, or use our appointment calendar

The information contained within was correct at the time of publication but is subject to change. It is for general information purposes and is not advice.

Most Buy-to-let Mortgages are not regulated by the Financial Conduct Authority

Your mortgage is secured on your property. Your property may be repossessed if you do not keep up repayments on your mortgage