Growth in mortgage borrowers as rates remain low | will never contact you by phone to sell you any financial product. Any calls like this are not from Moneyfacts. Emails sent by will always be from Be Scamsmart.

ARCHIVED ARTICLE This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Derin Clark

Derin Clark

Online Reporter
Published: 20/02/2020
dog sitting next to a box being unpacked

The housing market is starting to pick up, with the latest UK Finance data showing that both homemover and first-time buyer mortgages have increased during December.

During December 2019, UK Finance reported that there were 29,400 homemover mortgage completions, an increase of 3.2% compared to the same month the previous year. In addition to this, there were 29,490 first-time buyer mortgage completions during the month, a growth of 0.3% compared to December 2018.

Remortgages with additional borrowing were also up during December 2019, with 16,820 of these remortgages being taken out, an increase of 5.9% compared to the same month the previous year. This compares to a fall of 0.5% of pound-for-pound remortgages to 16,490 during December 2019 compared to 2018.

Low mortgage rates

Borrowers are currently able to take advantage of historic low mortgage rates, with highly competitive rates available throughout the mortgage charts. Research carried out by found that the average mortgage rate on a two year fixed mortgage at a 60% loan-to-value (LTV) has fallen by 0.09% year-on-year, with the average rate standing at 1.78% in December 2019 compared to an average rate of 1.87% the same month the previous year. Today, the average rate on a 60% LTV has increased slightly to 1.80%.

Meanwhile, the average rate on a two year fixed mortgage at a 75% LTV has fallen to 2.30% during December 2019 from 2.37% during December 2018, while the average 95% LTV has fallen to 3.25% from 3.54%. Today the average 75% rate stands at 2.29% and the average 95% LTV is 3.25%.

Similarly, the average rates on a five year fixed mortgage have also fallen. On a 60% LTV, rates fell to 2.08% during December 2019 from 2.29% compared to the same month the year previously. Average rates on a 75% LTV fell year-on-year to 2.58% in December 2019 compared to 2.76% and the average 95% LTV fell to 3.57% during December compared to 3.92% the year previously. Today, the average rates on a five year fixed mortgage at a 60%, 75% and 95% LTV stand at 2.11%, 2.57% and 3.56% respectively.

Commenting on the fall in average rates, Eleanor Williams, finance expert at, said: “It is positive to see borrower confidence increasing, especially considering that traditionally this is usually a quieter time of year.

“It may be that the level of competition among lenders, which has resulted in rates falling to attractive lows, is enticing borrowers to take the plunge and purchase, or indeed to refinance their existing deals.”

Mortgage rates

If you are looking for a mortgage, you can view all the current deals available in our homemover chart, first-time buyer chart and remortgage charts.


Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time. Links to third parties on this page are paid for by the third party. You can find out more about the individual products by visiting their site. will receive a small payment if you use their services after you click through to their site. All information is subject to change without notice. Please check all terms before making any decisions. This information is intended solely to provide guidance and is not financial advice. Moneyfacts will not be liable for any loss arising from your use or reliance on this information. If you are in any doubt, Moneyfacts recommends you obtain independent financial advice.

dog sitting next to a box being unpacked

Cookies will, like most other websites, place cookies onto your device. This includes tracking cookies.

I accept. Read our Cookie Policy