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Mortgage borrowers who paused home purchasing plans may be getting a respite from rising rates after new data shows average pricing is coming down from highs of 6%.

Analysis by comparison website Moneyfacts shows the average five-year fixed mortgage rate has dropped below 6% for the first time in seven weeks.

That may lower the cost for first-time buyers as well as existing homeowners looking to borrow for home purchases.

The average pricing on a five-year fixed rate mortgage rose from 4.74% in September to hit 6.51% in October after previous Chancellor Kwasi Kwarteng’s mini-Budget riled financial markets.

The average rate had fallen to 6.32% earlier this month and hit 4.95% today.

Rachel Springall, finance expert at Moneyfacts.co.uk, said: “Borrowers may well breathe a sigh of relief to see that fixed mortgage rates are starting to fall, but there may be much more room for improvement. 

“Borrowers who paused their home ownership plans, or indeed parked the idea of refinancing, may now be tempted to scrutinise the latest deals on offer.”

Springall said it is worth noting that rates could fall further still, but there is no clear answer as to how quickly that may be. 

She added: “Indeed, it’s been around two months since both the average two and five-year fixed mortgage rate breached 5%, but today only a handful of lenders are offering sub-5% fixed deals. 

“Borrowers may feel they have to be patient for a little while longer yet before they commit to a new fixed mortgage, or even wait until next year to see how the market recovers from the recent interest rate uncertainty.”