The top stories of the week include the national and RightMove launching real estate loan checks, while Knight Frank raises the price forecast as the base tax rate is expected to support demand.
Dig into these key updates below.
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National and RightMove launch property loan checks
National and RightMove have launched digital “Property Loan Check” feature to help home buyers evaluate mortgage eligibility before viewing real estate. The tool assesses risks such as flooding or short-term rentals, providing the possibility of real-time loans. Previously, buyers only knew the amount of the loan, not the qualifications specific to the property. The plan is designed to simplify the UK property market and reduce delays. Experts praise the feature for preventing late mortgage rejection. The RightMove program is further enhanced, and nationwide calls it a natural principle tool.
Knight Frank
Knight Frank has raised his UK home price forecast to 3.5% in 2025, above 2.5%, as expected base rate cuts are the main demand driver. Bank of England’s interest rate fell to 4.25%, and market forecasts for further relaxation of market confidence. Halifax reported a 0.3% increase in monthly prices in April. Rent forecasts also increased slightly due to tight supply. Knight Frank expects cumulative price growth of 22.8% over the past five years.
After FCA clarification, the latest nationwide adjustment of pressure rate
After FCA guidance, its mortgage pressure rate increased by 0.75 to 1.25 percentage points nationwide, allowing lenders to assess affordability based on product interest rates rather than resuming interest rates. The change has allowed borrowers, especially first-time home buyers who use their helper schemes, to get higher loans, an average increase of £28,000. However, the 15% loan-to-income cap on the Bank of England limits its impact. Experts praised the move but called for wider regulatory reforms to further reduce affordability restrictions.
Average two-year fixed rate since 2022 has dropped to minimum: Moneyfacts
The average fixed mortgage rate fell to 5.18% in May 2025, with a five-year fixed rate falling to 5.10% since September 2022. MoneyFacts reports that the rate of swap rates decline has been cut, closing the gap between short- and long-term trading. The availability of the product rose to 6,993, the highest since 2007, although the shelf life was shortened to 19 days. Experts point out that for first-time home buyers, the choice of choice has been improved, but cautious borrowers may still prefer longer repairs in the case of market volatility.
New rules for getting agents to take effect tomorrow
The new regulations require agents to enter into force on May 14, 2025, all landlords and tenants violate the UK’s financial sanctions list. Agents must verify their identity and report to the authorities to remove the first €10,000 (£8,275) rent. Non-compliance risk is fined £1 million. Goodlord warned that many landlords were unprepared for the changes, aiming to prevent approved people from renting property. This authorization applies to guidance for landlord and tenant positions.
Perenna and ABN AMRO update credit limit
Perenna Bank renewed and expanded its £200 million warehouse credit financing with ABN AMRO, extending the agreement to July 2026. The deal was built in April 2024 with the aim of supporting Perenna’s growth in the UK mortgage market. The funding will allow more loans to be used for innovative products involving housing affordability, said Cool Colin Bell, chief operating officer. The move strengthens Perenna’s mission to expand home ownership opportunities with flexible financing solutions.
Halifax reduction rate, including 2 years fixed rate below 4%
Halifax lowered its mortgage rate on April 22, 2025, introducing a two-year fixed rate of less than 4% at 3.94% (60% LTV, £999 fee). The lender also lowered the five-year fixed volume to 4.27% (80% LTV, £999 fee) and 4.38% (80% LTV, no fee). The biennial product of 90-95% LTV fell 0.19% to 5.15% (no fees). These reductions make Halifax one of the most competitive lenders in the market for homebuyers and reverse sellers.
L&C mortgage adopts a CRM solution with a mortgage system
London and National Mortgage implemented a mortgage system CRM solution on May 13, 2025 to simplify operations and enhance customer service. The fully integrated system improves brokerage workflow efficiency and data management. OMS CEO Dale Jannels praised L&C’s reputation, while L&C CEO Mark Harrington highlighted the platform’s flexibility in meeting their needs. The partnership aims to optimize internal processes and enhance customer experience through technological innovation.
Barclays has a minimum interest rate of 3.85% this year, and the Principality lowers RESI and JBSP rates
Barclays launched its lowest 2025 minimum interest rate on May 12, down 3.85%, cutting a variety of products, including free payments (4.18%, down 19bps) and green mortgages (4.08%). The Principality also lowered residential rates by 0.21%, JBSP cuts by 0.20%, and 75% of LTV transactions for two years. Competition in the Principality’s pruning cashback products has intensified as Barclays’ five-year fixed drops to 3.99%, suggesting a decline in market interest rates.
Opinion: FCA’s latest CP makes consumer obligations meaningless
Sebastian Murphy believes that the FCA’s CP25/11 proposal has the potential to undermine the principle of consumer responsibility. The May 13, 2025 comment article warned that the change is beneficial to lenders seeking to reduce broker participation and endanger consumer protection. Murphy highlights the overall role of the consultant in identifying risks such as protection gaps or affordability issues that are now threatened by only performing choices. Despite the recent emphasis on consumer responsibilities for consulting quality, consulting appears to prioritize cost savings over appropriate results, potentially harming consumers and consulting departments.
