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Mid-2026 Mortgage Market Update: Reviewing Your Deal

2nd June 2026

We are now halfway through 2026, and for many homeowners it is a good moment to pause and check whether the mortgage they are on is still the best available option. The rate environment has shifted considerably from the peak of the rate cycle in 2023, and borrowers who have not reviewed their deal in the past year may find that better options now exist.

Where Is the Mortgage Market in 2026?

Following the Bank of England's rate-cutting cycle that began in August 2024, the base rate has fallen from its 5.25% peak. Fixed mortgage rates have tracked downward, though the pace of decline has been gradual rather than dramatic. For many borrowers coming off deals arranged at the market peak in 2022 and 2023, the rates now available for remortgaging are meaningfully more competitive.

The market for fixed rate deals remains active and competitive, with lenders frequently repricing their product ranges. Tracker mortgages have also attracted renewed interest as the direction of travel for the base rate is generally downward, though the pace of future cuts remains uncertain.

Are You Paying Too Much?

If your fixed rate deal has ended and you have not remortgaged, you will be on your lender's standard variable rate. SVRs typically sit significantly above the base rate and are almost always more expensive than a competitive new fixed deal. If this describes your situation, reviewing your options should be the immediate priority.

Even if you are within a fixed rate period, it is worth knowing when your deal ends and what rate you will revert to. Starting to plan six months ahead gives you the best choice of products and ensures you are not caught without a deal in place when your current rate expires.

Has Your Loan-to-Value Improved?

House prices have generally risen since 2021, and regular mortgage repayments will have reduced your outstanding loan. If your loan-to-value ratio has improved significantly — for example, from 90% when you last remortgaged to 75% or below — you may now be eligible for a lower interest rate band. Moving from a 90% LTV product to an 80% or 75% product can make a meaningful difference to your rate.

Should You Switch Lender or Stay Put?

Your current lender may offer you a product transfer — a new deal without the need for a full affordability assessment. This can be quicker, but the rates offered to existing customers are not always the best on the market. Comparing your lender's retention deals against the wider market before committing is always advisable. A whole-of-market mortgage broker can do this comparison for you and will only recommend a switch if it genuinely results in a better outcome.

To review your current deal and explore your options, please submit an online enquiry or call our advisers on 0800 310 1340.

Speak to a Mortgage Adviser

Our advisers can help you find the right mortgage. Please submit an online enquiry or call 0800 310 1340.

YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR OTHER LOAN SECURED ON IT.