Mortgage product numbers continue to grow: Moneyfacts – Mortgage Strategy
The total number of mortgage products available on the market has pushed past the 4,000 threshold for the first time since August 2022, says Moneyfacts.
In total, there are now 4,341 mortgage products to choose from, which compares to 3,643 recorded in January.
Moneyfacts points out that as recently as October 2022, there were just 2,258 products available across all fixed and variable rate options.
In addition to this dramatic rise in product choice, the average shelf life of a mortgage product has jumped from 15 days in January – a record low – to 28 days today.
This is the joint highest number of days Moneyfacts has counted for this metric since March 2022.
And fixed mortgage rates are still dropping. Across all LTVs, the average two-year fix is now 5.44%, down from 5.79% a month ago, and the average five-year fix now stands at 5.20%. A month ago, this came to 5.63%.
“However, rate competition appears more focused towards five-year fixed deals, says Moneyfacts finance expert Rachel Springall, “and the rate difference between this and the average two-year fixed of 0.24% is the largest margin seen in almost 15 years (March 2008 – 0.31%).”
She adds: “Those borrowers sitting on their revert rate may wish to note the average SVR stands at its highest point since October 2008, so switching to a fixed deal may help them reduce their monthly mortgage repayments and give them peace of mind.”