Market Update

November 2025 Mortgage Market Update: What Buyers Should Actually Do Right Now

Mortgage rates have steadied after months of change, but affordability is still tight. The Bank of England hasn’t moved the base rate yet, and talk of a new property tax has made some buyers nervous. If you’re thinking about buying or remortgaging, the best move right now is to plan early, get advice, and focus on what you can control, not the headlines.

Will Sharman

Nov 12, 2025

November 2025 Mortgage Market Update: What Buyers Should Actually Do Right Now

Where Mortgage Rates Stand Now?

Average mortgage rates are sitting lower than this time last year, but they’re still higher than most people want them to be.
Two-year fixed deals are hovering around 4.8%, while five-year deals are closer to 4.4%. Tracker and variable deals are staying steady, with most lenders waiting to see what the Bank of England does next.

Many lenders have started making small cuts, especially for buyers with larger deposits or stable incomes. That’s a good sign, but affordability rules haven’t changed. Lenders are still strict about income, debt, and spending habits.

Our advice: if you’re coming to the end of a fixed deal, start looking for a remortgage rate now. You can usually secure a deal up to six months ahead. Waiting could cost you hundreds of pounds more each month if rates rise again.
Use our Mortgage Calculator to see what your new repayments could look like.

What the Bank of England Is Signalling

The base rate is still at 5.25%, where it’s been since 2024.
Inflation is falling, but not fast enough for the Bank to start cutting rates. Most experts now expect a small drop early in 2026, depending on how energy and food prices behave over winter.

In plain English, that means:

Don’t expect mortgage rates to fall dramatically overnight.
Focus on your affordability today, not the hope of cheaper deals later.
If you find a good rate that fits your budget, take it.

“Too many buyers try to time the market. The smarter move is to build a plan that works no matter what the rate does next.”

Is Now the Right Time to Buy or Remortgage?

There’s no perfect time, but right now is not a bad one to prepare.
House prices have steadied after falling early in 2024. Sellers are more realistic, and lenders are competing harder for good applicants.

If you already own, look at your mortgage term. Can you shorten it while keeping payments affordable? Could you fix for five years instead of two for peace of mind?
If you’re buying, check your numbers early with a broker, not a comparison site.

You can also read our blogs:

Government Talk: Stamp Duty and Property Tax

One of the biggest rumours in the mortgage world right now is that the government could replace stamp duty with a new property tax for homes worth over £500,000.

Nothing is confirmed yet, but the change could mean sellers, not buyers, pay a small annual tax instead of buyers paying a large lump sum upfront.
It sounds simple, but the details are messy, and no one knows how it will affect affordability or house prices yet.

For a full breakdown, read our guide:
Is Stamp Duty Changing? What Does That Mean for Buyers?

First-Time Buyers Still Feeling the Pressure

First-time buyers are still facing steep prices and strict lending rules.
The average first home now costs around seven times the average income, and deposits are still the biggest barrier.

Government schemes like Shared Ownership and First Homes can help, but they come with rules and limits.
If you’re new to the process, take a look at our Shared Ownership Mortgage Guide, it explains how it works and whether it suits you.

How MBNM Helps Clients in a Market Like This

At MBNM, we’re not tied to one bank or one type of deal.
We look at the whole market and match you to lenders who are more likely to say yes, not just those who shout the loudest online.
Our clients get honest, human advice. We don’t tell you what you want to hear, we tell you what you need to know.

If you want to understand what you can afford, what lenders are looking for, and how to build a long-term plan, start with a chat.
We’ll take you through the options without pressure.

FAQs

Will mortgage rates drop in 2026?
They might, but slowly. Lenders are cautious, and the Bank of England wants inflation to stay under control before cutting rates.

Should I fix or track right now?
If you need stability, a fixed rate is safer. If you can handle a little uncertainty, a tracker could save you money in the short term. Talk to a broker before deciding.

Is remortgaging early worth it?
Usually, yes. Securing a new rate before your current deal ends can protect you from higher costs later.

Can I still get a mortgage with a smaller deposit?
Yes, but your rate will be higher. Some lenders are offering 95% deals again, but you’ll need solid affordability and clean credit.

“We can’t control prices or policy, but we can control how prepared you are. The earlier you start the conversation, the better the outcome.”

Final Word

The truth is, no one can predict where mortgage rates will be in six months.
But that’s not the point.
The smart move is to focus on your budget, your plans, and your timing.

At MBNM, we help you make decisions that work in the real world, not just on paper.
If you want straight answers and a plan that fits your life, get in touch today.

Speak to a Mortgage Expert