Overview
- Nous estimates that borrowers rolling off five-year deals taken in January 2021 now face typical remortgage rates around 4.9%.
- Monthly repayments on a £200,000 mortgage could rise by about £321, from £836 to £1,157, based on the example cited.
- Homeowners who do not switch risk moving onto lenders’ standard variable rates that can exceed 7%.
- Some well-qualified borrowers with substantial equity may access lower deals, with examples reported as low as 3.7%.
- Rates climbed after the 2022 mini-Budget and subsequent Bank of England hikes, with averages peaking in 2022–2023 before easing somewhat after lender repricing in December.