If you’re a homeowner or soon-to-be buyer, one of the biggest questions on your mind right now is: Should I fix my mortgage rate in 2025?

With interest rates fluctuating and economic uncertainty in the air, it’s a valid concern.

As a UK-based Independent Financial Advisers, we often get asked this question, especially by those whose fixed rates are ending this year.

The truth is there’s no one-size-fits-all answer. However, there are a few key points to consider.

The Current Landscape

Following a series of interest rate hikes by the Bank of England over the last two years, rates are now stabilising.

That said, we’re not yet back to the ultra-low mortgage rates seen before 2022.

As of mid-2025, average fixed mortgage rates are hovering around 4.5%, though they vary significantly by lender, term and deposit size.

“People want certainty with their biggest monthly outgoing,” says Martin Lewis, founder of MoneySavingExpert. “If you can afford the payments and want stability, fixing could be right for you.”

Read about the Own New Rate Reducer mortgage scheme

The Pros of Fixing Now

  • Budget certainty: Knowing what your payments will be for the next 2, 3 or 5 years can offer peace of mind.
  • Protection from rate rises: If inflation rises or the Bank of England increases base rates again, you’re insulated.
  • Market competition: Lenders are still offering competitive fixed deals, especially if you’ve got decent equity or a strong credit score.

The Cons of Fixing Now

  • Locked in at a higher rate: If rates fall in 2026 or beyond, you could be stuck paying more than necessary.
  • Early repayment charges: Leaving a fixed rate early can be expensive.
  • Less flexibility: Some fixed-rate deals don’t allow overpayments or have restrictions that don’t suit everyone.

Should You Wait?

Trying to time the market is rarely a winning strategy.

Even economists can’t predict future rate movements with certainty. What matters most is how your mortgage fits into your broader financial picture.

“Think about what gives you peace of mind,” we often tell clients. “Is it knowing your payments won’t change, or being able to switch if rates fall?”

The Bottom Line

Fixing your mortgage rate in 2025 could make a lot of sense if you value payment stability and want to guard against further rate increases. But it’s not right for everyone.

Speak to an Independent Financial Adviser who can help you weigh the pros and cons based on your personal goals, budget, and long-term plans.

Need tailored advice about your mortgage options?
We offer impartial, whole-of-market advice to help you make confident decisions in uncertain times. Reach out today to book a no-obligation mortgage review.