Should You Fix Your Mortgage Now or Wait? What Buyers Need to Know Before 5 November
Mortgage rates have climbed quickly this autumn, and the Bank of England is widely expected to raise interest rates on Thursday 5 November. If you're buying in Warrington, or your current deal is ending soon, here's what's going on and what to think about before you decide.
What's happened to rates.
At the start of October, the average five-year fixed mortgage reached 6% for the first time in around three years, according to Moneyfacts. The average two-year fix was close behind at 5.98%, its highest since December 2023. A month earlier, the two-year average had been nearer 5.7%. The number of fixed deals under 5% fell from almost 1,500 at the start of September to just nine.
Why it's happening.
Fixed mortgage rates follow what the financial markets expect interest rates to do over the next few years, not just today's Bank Rate. Conflict in the Middle East has pushed up oil and energy prices, inflation worries have come back, and the cost of government borrowing has risen sharply. Lenders have responded by raising their rates, in some cases several times in a single month, and withdrawing some of their cheaper deals.
What's expected on 5 November.
The Bank of England has held Bank Rate at 3.75% since December 2025. At its September meeting, three of its nine committee members already voted for a rise. Since then, inflation has picked up again, and several economists have described a rise next month as close to certain. Nobody knows for sure until the announcement, and it's not yet clear how big any rise would be.
Why fixed rates may not jump on the day.
Because fixed rates are priced on what markets expect, a lot of the expected rise is already built into today's deals. That's partly why rates have gone up so much over the last two months. If the Bank raises rates by the amount everyone expects, fixed rates may not move much on the day. If it surprises the markets, in either direction, they could.
Two years or five?
This is the question most buyers are asking at the moment, and right now the answer comes down to what matters more to you.
- Two-year fix. Similar rate to a five-year deal at the moment. It gives you the chance to switch to something cheaper sooner if rates fall, but there's no guarantee they will, and you'll be paying fees again in two years.
- Five-year fix. Certainty for longer, which can help with budgeting, especially for first-time buyers. The downside is being tied in, usually with early repayment charges, if rates come down or you need to move.
- Tracker. Usually cheaper today. At the end of September, the average two-year tracker was around 4.45%, against about 5.94% for a two-year fix. But a tracker moves with Bank Rate, so if rates rise on 5 November your payments go up straight away. Some trackers let you switch to a fix without a penalty, which is worth asking about.
What a rate rise actually costs.
As a rough example, a £220,000 repayment mortgage over 25 years costs about £1,286 a month at 5% and about £1,417 a month at 6%. That's around £130 a month more. A further quarter-point rise, from 6% to 6.25%, would add roughly another £34 a month. Your own figures will depend on your loan, term and lender, but it shows why even small changes matter.
Your deposit makes a real difference.
The more you put down, the lower your rate tends to be. In mid-October, average two-year rates ranged from around 5.1% for buyers borrowing 60% of the property's value to just over 6% for those borrowing 95%. If you're close to the next band, a little extra deposit could save you more than you'd expect.
If you're already buying.
If you've had an offer accepted and have a mortgage offer in place, it's usually fixed at the rate you were offered, even if rates rise before you complete. Offers are often valid for around six months, though this varies by lender. If you only have a mortgage in principle, that's not a guaranteed rate, so it's worth talking to your broker about securing a deal sooner rather than later.
If your current deal is ending.
Nearly two million fixed deals are due to end this year. Many lenders let you secure a new rate up to six months before your current one runs out, and you can usually still switch if something cheaper comes along before it starts.
The sensible next step.
Whether to fix, and for how long, depends on your own circumstances, and nobody can promise where rates will go. A good mortgage broker can compare deals across the market and tell you what you can actually get today. If you're buying with us and don't have a broker yet, we can put you in touch with the UK Mortgage Centre, with no obligation. Call Sam on 01925 767000 or email sam@courtyardhomes.co.uk.
This article is general information, not financial advice. Rates and deals change quickly, so always check the latest figures with a qualified adviser. Written on 27 October 2026, ahead of the Bank of England decision on 5 November. Sources: Moneyfacts, "Average five-year fixed rate hits 6%" (5 October 2026); Tembo, Market Watch: Mortgage Rates, October 2026; Property Industry Eye, "Property industry braces for interest rate hike" (22 October 2026). Example repayments calculated on a standard capital and interest basis.
