Well done for getting through January - often considered the toughest month of the year. February is already shaping up to be a highly positive month for both aspiring and existing homeowners, with the market looking strong and buoyant. Keep reading for all the latest news…
TEAM NEWS
Although the third Monday in January is supposedly ‘Blue Monday’, Samaritans encourage everyone to ditch this myth and put the kettle on instead. A simple chat over a cuppa can make a big difference.
Our team all love a brew and believe conversations matter - whether it’s about your mortgage options or just checking in on how you’re doing.
MORTGAGE NEWS
First-time buyers show signs of a sustained comeback
First-time buyers may finally be turning a corner, with brokers reporting a sustained rise in activity, supported by more generous lender criteria and a broader range of high loan-to-value (LTV) products.
Yorkshire Building Society reported that first-time buyer mortgages surged to 390,324 in 2025, representing an 18% increase on 2024, pushing activity back towards the 2022 high-water mark of 405,250. While that earlier high was fuelled by government incentives, pandemic-era demand and rock-bottom rates, this latest resurgence appears to be driven more by regulatory shifts, product innovation and lower mortgage rates that are steadily easing pressure on household budgets.
SOURCE: Mortgage Introducer
Mortgage Advice Following a Divorce or Separation
Ending a relationship, civil partnership, or marriage is rarely a 'snap' decision. We usage separating couples to consider all the available options and seek financial advice, particularly where your mortgage is involved.
Our Top Advice
✔️ Contact your mortgage broker and lender as soon as possible to update them on your circumstances
✔️ Keep up your payments. Both parties are legally liable for repayments
How we can help…
✔️ Divorce or separation can be a traumatic experience. As mortgage brokers, we minimise much of the stress and administration of arranging a mortgage. We can access brokers' exclusive rates that you might not get by going directly to the lender.
✔️ Whilst this might be a new experience for you both, Stratton Thorpe has years of experience dealing with divorce and separation mortgage clients. We're here to help.
Falling rates and product choice growth sets a positive stage for 2026: Moneyfacts
The falls in mortgage rates during 2025, along with product choice growth, sets a positive stage for the market in 2026, according to Moneyfacts.
In the latest Moneyfacts UK Mortgage Trends Treasury Report data shows product choice overall rose month-on-month, to 7,158 options, where year-on-year, there are now 650 more deals available to borrowers.
The latest count is the highest since October 2007 with 7,421. It found that deals at 90% and 95% loan-to-value (LTV) brackets sit at near 18-year highs. Mortgage activity resulted in a rise in the average shelf-life of a mortgage to 21 days.
The report shows that fixed mortgage rates remain below 5% to start 2026. The average two-year fixed mortgage rate continued its downward trend, now 4.83% to start January 2026, down by 0.03% month-on-month, a marginal drop versus the 0.08% recorded at the start of December 2025. The average five-year fixed rate remained unchanged at 4.91%.
The Moneyfacts Average Mortgage Rate fell to 4.87% month-on-month from 4.91%, meaning year-on-year the rate is down by 0.53%, from 5.40% in January 2025.
The average two-year tracker variable mortgage rate fell to 4.44% from 4.66% month-on-month and is down by 1.03% year-on-year from 5.47%.
Moneyfacts says cuts to the Bank of England Base Rate have helped fuel the fall.
SOURCE: Mortgage Strategy
Biggest January house price bounce for 25 years: Rightmove
The average price of homes listed for sale in January rose by 2.8% from December to reach £368,031, marking the largest ever increase for the month since Rightmove began recording the data 25 years ago.
The property portal found that it was also the highest rise for any month since 2015. Asking prices are now 0.5% higher than a year ago, with agents reporting that confidence is returning following the November Budget. Rightmove says there was a sharp rise in activity over the festive period, with buyer demand increasing by 57% in the two weeks after Christmas compared with the two weeks prior, while the number of newly-listed homes jumped by 81%.
Rightmove also recorded its busiest-ever Boxing Day for visits to the platform, as buyers began their search for a 2026 move. However, sellers are being urged to remain realistic on pricing. With the number of property listings at the highest level for this time of year since 2014, a third of homes already on the market have had their price reduced and buyers have a lot of choice.
Rightmove found that local market conditions remain volatile, despite the strong headline figures.
SOURCE: Mortgage Strategy
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