"Growth in demand for two-year fixes is in part due to people becoming more optimistic about the prospect of rates coming down in the future."
- Stuart Cheetham, CEO of MPowered Mortgages
MPowered Mortgages has announced reductions to its two-year fixed rates, as data reveals that demand for two-year fixed rates has doubled since 2022.
New data released by the lender has shown that for the first six months of 2022, 21% of fixed rate products selected by those moving home were for a two-year period. This compares to 38% year to date for 2024.
As a result, MPowered has reduced rates across its two-year fixed rate purchase mortgage range by up to 0.13%.
Two-year fixed rates at 60% LTV with a £999 arrangement fee now start at 4.63% and fee-free rates from 4.89%, available to both those moving home or first-time buyers.
Stuart Cheetham, CEO of MPowered Mortgages, commented: “We’re pleased to be reducing our two-year fixed rates further, having already reduced them at the end of June, further supporting people making their first steps on the ladder and those moving into their next home.
“Demand for two-year fixed rates has doubled since summer of 2022. Growth in demand for two-year fixes is in part due to people becoming more optimistic about the prospect of rates coming down in the future. However, we would urge borrowers to remain cautious about the future direction of mortgage rates as there are no guarantees what rates will do, and history has taught us this. Speaking to a qualified financial advisor or a broker is crucial before making any decisions.”
