Average mortgage interest rates in the United Kingdom (UK) 2014-2020

As of March 2020, 10-year fixed mortgage rates were at their lowest since recording began by the Bank of England at 2.36 percent. This is particularly good news for first-time home buyers and those remortgaging their property. Across the fixed date terms, all mortgage rates fell between September 2019 and March 2020. Two year variable mortgage rates fell from 2.03 percent in September to 1.94 percent in December but then increased further to 2.5 percent in March 2020.

What decides a mortgage

For anyone trying to obtain a mortgage, they will want the lowest possible rates. For the lender, they will want to attract as many borrowers as possible by staying competitive, all the while trying to manage their risks with appropriate rates.

Number of homes sold

During 2019, the overall number of residential properties sold fell from the previous year. Of the plus one million transactions made across the UK in 2019, the majority of residential properties were sold in England.