Fixed mortgage rates hit 6-month high

The cost to lenders of raising funding on the swap rate market has soared in recent months. At the end of November, the two-year swap rate stood at 1.35% and today it stands at 1.98%, which is a rise of 47%. Michelle Slade, spokesperson for Moneyfacts.co.uk, says: "The majority of lenders have increased rates since the start of the year, with some mortgage deals seeing rate rises of more than 0.50%. "Borrowers who have delayed the decision to commit to a new fixed deal will now find themselves having to pay higher monthly payments." On a mortgage of £150,000, a 0.50% increase in ra...