What I need to know about interest rates
If you’re a first-time buyer, your deposit is likely to be between 5% and 10% which means your interest rate is likely to be higher. The larger your deposit, the better fixed rate interest you can get. The fixed rate interest on 2 year deals start from 1.84% on a 10% deposit, and 5 year deals from 2.24%.
Rates are expected to rise after the latest announcement from the Bank of England as they have increased interest rates by 0.25 percentage points from 0.5% to 0.75% (August 2018). These rises can be expected to leak through to mortgage rates, increasing the cost of borrowing.