Mortgages · Updated July 2026

Best UK Mortgage Rates 2026

The cheapest UK mortgage rate is not the one with the lowest headline number — it's the one with the lowest total cost over the deal period. We've ranked the best 2026 deals for buyers and remortgagers by true APRC.

Our top picks

  1. #1

    Best 2-year fixed (60% LTV)

    Cheapest overall
    3.99% APRCMin: 40% deposit2-year fixed

    Pros

    • Lowest headline rate on the market
    • Flexibility to remortgage in 2 years
    • 10% overpayments allowed

    Cons

    • £999 arrangement fee
    • 60% LTV needed — huge deposit
    Best for: Downsizers and remortgagers with significant equity.
  2. #2

    Best 5-year fixed (75% LTV)

    Best for stability
    4.15% APRCMin: 25% deposit5-year fixed

    Pros

    • Rate certainty for 5 years
    • Portable to a new home
    • Fee-free option available

    Cons

    • Early repayment charges ~5% year 1, tapering
    Best for: Buyers who want budgeting certainty and won't move within 5 years.
  3. #3

    Best first-time buyer (95% LTV)

    Best FTB
    5.29% APRCMin: 5% deposit5-year fixed

    Pros

    • Only 5% deposit needed
    • 5-year rate lock
    • No arrangement fee

    Cons

    • Higher rate reflects higher LTV band
    Best for: First-time buyers who've saved a 5% deposit and want long-term stability.
  4. #4

    Best tracker

    Best for cuts
    BoE + 0.35% (currently 4.85%)Min: 25% deposit2-year tracker

    Pros

    • No ERC — leave any time
    • Immediate benefit from BoE cuts
    • Move to fix later

    Cons

    • Exposure to BoE rises
    Best for: Borrowers expecting UK rate cuts in 2026 who can afford a temporary rise.
  5. #5

    Best remortgage deal

    Best remortgage
    4.05% APRCMin: 40% equity5-year fixed

    Pros

    • Free legals and valuation
    • Fee-free
    • 10% overpayments

    Cons

    • Requires 60% LTV or lower
    Best for: Owners rolling off a cheap 5-year fix from 2021.

How to choose

Total cost > headline rate

A 3.99% deal with a £1,999 fee can cost more than a 4.25% fee-free deal on loans under £150,000. Use our mortgage calculator to compare true 2-year and 5-year cash outlay.

LTV bands unlock big savings

Rates step down sharply at 90%, 85%, 75% and 60% LTV. Overpaying by £2,000 to drop a band can save £40+/month.

Fix vs tracker

Fixes lock certainty; trackers move with base rate. If you'd lose sleep over a 1% hike, fix. If you expect cuts and have income headroom, track.

Use a whole-of-market broker

Brokers see deals direct lenders don't advertise — and many are fee-free. Skipping this can cost thousands.

FAQs

Will UK mortgage rates fall in 2026?
Markets are pricing in gradual Bank of England cuts through 2026, but not to 2021 levels. Most economists expect fixed rates around 3.5–4.5% by year-end 2026.
How much can I borrow?
Most lenders offer 4.5× income. Some offer 5.5× for higher earners or specific professions. Use our mortgage calculator to model affordability.
Should I remortgage now or wait?
If your fix ends within 6 months, lock a new deal now — you can usually switch to a cheaper deal if rates fall before completion.

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