Mortgage rates below 5% for first time since Truss budget

Mortgage rates have fallen below 5% for the first time since Liz Truss's 2022 budget, with the average two-year rate at 4.99%. Lenders are now competing more aggressively, benefiting homebuyers, and there are questions about further rate reductions this year. With many borrowers due to re-mortgage, the UK Finance group reports 900,000 fixed rate deals expiring in the second half of 2025.