The UK mortgage market has seen significant shifts and trends over the last 11 months, driven by fluctuating rates and an influx of ambitious first-time buyers. Mojo Mortgages team of mortgage advisers and experts have dug into proprietary data from January 1, 2025, to December 1, 2025 to analyse and reveal key customer preferences, regional hotspots, mortgage lending & affordability statistics and the dominance of the fixed-rate mortgage.
Fixed Rate Preferences
The appetite for stability remains paramount, with fixed-rate mortgages chosen by nearly 95.5% of customers completing a mortgage with Mojo Mortgages;
- Fixed Rate: 95.49%
- Tracker Rate: 4.42%
For those who chose a fixed rate, the 2-year period remains the king, although the 5-year fix continues to be a very strong contender:
| Initial Fixed Period | % of Completed Mortgages |
| 2 Years | 56.77% |
| 5 Years | 35.78% |
| 3 Years | 6.85% |
| 1 Year | 0.44% |
Highest and Lowest Rates in 2025
The movement in rates from major lenders (Halifax, HSBC, Lloyds Bank, Nationwide, Natwest & Santander) demonstrated a clear pattern of softening as the year drew to a close
| Rate Type | Highest Rate | Date | Lowest Rate | Date |
| 2-Year Fixed | 4.8% | 31st January 2025 | 4.1% | 1st December 2025 |
| 5-Year Fixed | 4.5% | 25th January 2025 | 4.1% | 1st December 2025 |
John Fraser-Tucker, Head of Mortgages at Mojo Mortgages, comments:
“While rates saw a high and low throughout the year, the market ended 2025 with rates softening, providing a significant boost of confidence for buyers entering the new year. The fact that the lowest 2-year and 5-year fixed rates from our key lenders were both recorded at a competitive 4.1% on December 1st shows just how much things have improved since the highs we saw in January.
“This softening trend is clearly what borrowers have been waiting for. The vast majority of our customers – over 95% of those completing a mortgage – chose to lock in a fixed rate, highlighting a continued desire for payment stability. However, the data also shows remortgagers are now more prepared to shop around and switch to a new lender, rather than just taking a product transfer. This suggests the small, downward movement in rates has created enough competition among lenders to encourage borrowers to actively hunt for the best available deal, and we fully expect this competitive environment to intensify as we move into 2026.”
Regional Hotspots & Property Type
Data from Mojo Mortgages ‘fact finding’ stage reveals where customers looking for a mortgage are concentrated, with the North West and Greater London leading the charge.
The UK’s Most Active Mortgage Markets
| Region | % of Customers (From Fact Finding Stage) |
| North West | 8.68% |
| Greater London | 12.71% |
| West Midlands | 10.15% |
| East Midlands | 9.49% |
| East of England | 9.12% |
Property Type Preference
The dream of a detached or semi-detached property dominated the search, with traditional ‘Houses’ making up over 85% of all property types our customers were purchasing;
- House: 85.18%
- Flat: 13.01%
The New Generation of Buyers: First-Time Buyers
First-Time Buyers (FTBs) grew in force in 2025. Mojo Mortgages saw an increase in their activity by 5.7% compared to 2024, when looking at those seeking help with their mortgage, from the initial fact-finding stage and beyond.
The profile of the new buyer remains young and ambitious:
- Average Age: 32.3 years old
- Age Dominance: The 25–34 age bracket accounted for over half (50.8%) of all FTBs seeking a mortgage
- Oldest/Youngest FTBs: The range of first-time buyers completing a mortgage spans from 19 to 61 years old (we even had an application with a second applicant aged 83!)
| FTB Metric (Completed Stage) | 2025 Figures |
| Average Deposit | £56,827.58 |
| Average Loan Amount | £236,125 (Up from £201,286 in 2024) |
| Average Initial Monthly Repayment | £1,210.76 |
| Average Term Length | 30.6 years |
Remortgaging: Shopping Around for a Better Deal
When remortgaging, more customers opted to switch to a new lender this year compared to the last, with many chasing a better rate.
- Switched to a New Lender (“No Product Transfer”): 55.5% (Up from 52% in 2024)
- Stayed with Existing Lender (“Product Transfer”): 44.5%
Furthermore, 7.5% of customers completing a remortgage borrowed additional money, likely for home improvements
Home Mover Metrics
Home Movers demonstrated a significantly larger deposit and loan size than FTBs, reflecting their position further up the property ladder.
| Home Mover Metric (Completed Stage) | 2025 Figures |
| Average Deposit | £139,453.69 |
| Average Loan Amount | £285,850 (Up from £239,461 in 2024) |
| Average Initial Monthly Repayment | £1,461.20 |
| Average Term Length | 27.5 years |
Seasonal Mortgage Activity
The property market saw its biggest boom in the third quarter, indicating buyers were confident about moving into their new homes before the end of the year.
The Autumn months (September, October, and November) accounted for over a third of all mortgage completions this year.
| Season | % of Completed Mortgages | Most Popular Month |
| Autumn (Sep, Oct, Nov) | 34.97% | October (602 completions) |
| Summer (Jun, Jul, Aug) | 26.94% | August (469 completions) |
| Spring (Mar, Apr, May) | 25.09% | March (660 completions) |
| Winter (Jan, Feb) | 13.18% | February (339 completions) |
Mojo Mortgages Outlook
“2025 has been defined by two key factors: the unwavering demand for fixed-rate stability and the resilience of the first-time buyer,” comments John Fraser-Tucker. “We’ve seen mortgage rates hitting their annual lows right at the end of the year, providing a real boost for buyers moving into 2026.
This trend, coupled with the clear shift of remortgagers actively seeking out new lenders for the best deal, suggests that borrowers are savvy and highly rate-sensitive. We anticipate this positive momentum and buyer confidence to continue into the New Year, particularly in the North West and Greater London areas.”
