UK 5-Year Mortgage Rate Drops Below 6% for First Time Since July

  • Key UK mortgage rates are slowly retreating from 14-year highs
  • Softer inflation, BOE pause are helping cool financing costs
London Housing Price Cuts Rise; Higher Rates Force More to Sell
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The cost of a five-year fixed-rate mortgage in the UK has dropped below 6% for the first time since the start of July, providing a glimmer of hope for Britons reeling from the UK’s home loans crunch.

The average five-year fixed-rate mortgage dropped to 5.99% on Thursday, a week after the Bank of England halted the most aggressive cycle of interest rate increases in more than three decades. The average two-year fixed-rate deal dipped to 6.5%, a threshold it breached almost three months ago, according to Moneyfacts Group Plc.