With mortgage rates climbing and uncertainty surrounding the Autumn Budget, homeowners face a difficult question. Is it better to secure a mortgage deal now or hold out in the hope that rates will fall?
Just when borrowers might have hoped mortgage rates were heading in the right direction, the market has taken another turn.
Average fixed mortgage rates have climbed during the autumn, adding another layer of uncertainty for homeowners coming to the end of their existing deals and people planning to buy a property1.
According to figures reported by HomeOwners Alliance, the average two-year fixed mortgage rate was 5.97 per cent and the average five-year fixed rate was 5.99 per cent in October¹.
With the Autumn Budget taking place on 28 October2 and the Bank of England’s next interest rate decision due on 5 November, borrowers may understandably be wondering what to do next3.
But while nobody can predict exactly where mortgage rates will go, getting professional mortgage advice could help you understand your options and make a decision based on your circumstances rather than speculation.
Why are mortgage rates rising?
Many borrowers assume mortgage rates move directly in line with the Bank of England’s base rate.
But that is not necessarily how it works.
The Bank of England held its base rate at 3.75 per cent in September, yet fixed mortgage rates have risen as financial markets reassessed the outlook for future interest rates3.
Fixed-rate mortgage pricing is influenced by several factors, including swap rates, which reflect expectations about future borrowing costs4.
This means lenders can increase or reduce mortgage rates even when the Bank of England leaves its base rate unchanged3.
For homeowners, it makes predicting the right time to secure a mortgage deal particularly difficult.
Is waiting for rates to fall worth the risk?
If your current mortgage deal is ending soon, you may be tempted to wait and see whether lenders reduce their rates.
But there are risks to delaying.
Mortgage rates could fall, remain broadly unchanged or rise further. If you wait too long, you could also find yourself moving onto your lender’s standard variable rate when your existing deal expires.
Standard variable rates are often higher than rates available on new mortgage products, although this is not always the case1.
Equally, securing a mortgage deal now does not necessarily mean you will be getting the cheapest available rate when your mortgage completes.
This is why speaking to a mortgage broker can be particularly useful when rates are changing.
An adviser can help you understand which deals are currently available, how long a mortgage offer might remain valid and whether the lender permits changes to the selected product before completion.
Why advice matters when rates are unpredictable
A mortgage broker cannot forecast exactly what the Bank of England or mortgage lenders will do next.
But they can help you make an informed decision using the information available today.
That includes comparing suitable fixed and variable mortgage products, assessing overall costs and considering how your budget might be affected if interest rates change.
For example, a fixed-rate mortgage provides certainty over the interest rate and repayments during the fixed period.
A variable or tracker mortgage may offer different features, but repayments could increase if the applicable rate rises.
Neither option is automatically better.
The most appropriate choice depends on factors such as your financial circumstances, future plans, attitude to changes in monthly repayments and how long you expect to keep the mortgage.
A broker can explain these differences and help you consider the potential benefits and drawbacks of each option.
Your mortgage deserves a plan, not a prediction
Trying to second-guess mortgage rate movements can be difficult, even for experienced market commentators.
Rather than basing an important financial decision on what rates might do next, it may be more productive to understand what you can afford and which options suit your circumstances.
A mortgage adviser can help you review the deals available through lenders within their scope of service, explain relevant fees and restrictions, and identify whether a particular mortgage is appropriate for your needs.
And if you are coming towards the end of an existing deal, starting that conversation early could give you more time to consider your options.
Speak to your mortgage broker before making your next move
With mortgage rates changing and the wider economic outlook uncertain, having professional guidance can be valuable.
Whether you are buying a property, moving home or approaching the end of your current mortgage deal, your adviser can help you understand the options available and the potential implications of your decision.
Important information
Your home may be repossessed if you do not keep up repayments on your mortgage.
Mortgage rates and products are subject to change and availability. Eligibility depends on individual circumstances and lender criteria. Mortgage arrangements may involve fees, charges and restrictions, including early repayment charges.
Variable mortgage rates and repayments may rise or fall. Fixed-rate mortgages can provide repayment certainty during the fixed period but may involve early repayment charges if you leave the deal early.
This article is for general information only and does not constitute a personal mortgage recommendation. Mortgage advice may be subject to a fee, which will be disclosed before proceeding.
Your home/property may be repossessed if you do not keep up repayments on a mortgage or other debt secured on it.
There may be a fee for mortgage advice. The precise amount of the fee will depend on your circumstances.
Think carefully before securing other debts against your home/property.
All the information in this article is correct as of the publish date 28th October 2026. The opinions expressed in this publication are those of the authors. The information provided in this article, including text, graphics and images does not, and is not intended to, substitute advice; instead, all information, content, and materials available in this article are for general informational purposes only. Information in this article may not constitute the most up-to-date legal or other information.
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Sources:
- HomeOwners Alliance (2026). Mortgage Rate Predictions 2026: Are Mortgage Rates Going Down? - HomeOwners Alliance. [online] HomeOwners Alliance. Available at: https://hoa.org.uk/advice/guides-for-homeowners/for-owners/mortgage-rate-forecast/.
- HM Treasury (2026). Chancellor letter to the Treasury Select Committee (TSC) - Budget 2026 date. [online] GOV.UK. Available at: https://www.gov.uk/government/publications/chancellor-letter-to-the-treasury-select-committee-tsc-budget-2026-date.
- Bankofengland.co.uk. (2026). Bank rate maintained at 3.75% - September 2026 Monetary Policy Summary and Minutes. [online] Available at: https://www.bankofengland.co.uk/monetary-policy-summary-and-minutes/2026/september-2026.
- Bankofengland.co.uk. (2026). Monetary Policy Report - July 2026. [online] Available at: https://www.bankofengland.co.uk/monetary-policy-report/2026/july-2026.