True mortgage cost rises
The average rate of UK retail mortgages (including all fixed and variable rates and all LTVs) in April 2014 is 3.87%.
Sylvia Waycot, Editor at Moneyfacts.co.uk, said: “The average true cost of a mortgage has risen for the third month in a row.
“This may be due in part to the Government withdrawing FLS from the retail market and refocusing it towards the SME market, causing a rebalancing of rates, fees and introductory offers.
“Fixed rates are also sensitive to SWAP rates which have been rising due to speculation of a BoE base rate rise.”
Average mortgage rates increased across the fixed and variable ranges, with the exception of variable two and five-year deals which saw averages dip.
The number of fixed rate mortgage products on the market contracted, with the exception of five-year fixed, whilst the number of variable mortgages rose across two, four and five-year terms.