The latest weekly mortgage tracker from Rightmove has revealed that the average 5 year fixed mortgage rate is now 5.07%, down from a high of 6.11%.

Matt Smith, Rightmove’s mortgage expert, said: “No news is often good news when it comes to the mortgage market, and yet another week – the 20th in a row – of marginal percentage point drops is positive news for home-movers. Swap rates have also remained steady this week but fell further on the back of the UK GDP data.

“After the chunky drop in inflation was announced in mid-November, it looked likely that (there would be) a third consecutive Base Rate hold. And while these pauses come off the back of falling inflation and a more positive economic outlook, the Bank has indicated that we’re unlikely to see any Base Rate drops until we’re well into 2024. However, markets are currently forecasting that the first Base Rate reduction may arrive in late Spring next year.”