Variable and tracker mortgages are now more than twice as popular versus six months ago, according to Moneyfactscompare.co.uk.
Shorter-term fixed deals are increasingly popular with borrowers, according to the firm’s analysis of mortgage search activity.
Mortgage rates have increased significantly in the past few weeks, and as a result, the firm said many borrowers are “considering taking a gamble” on the trajectory of interest rates with a tracker or variable mortgage.
| Term | Total share (September 2025) | Total share (April 2026) | Change (%) |
| Two-year fix | 49% | 53% | +8% |
| Five-year fix | 27% | 23% | -15% |
| Variable and tracker | 6% | 13% | +116% |
| Month-on-month change in share of users of Moneyfactscompare.co.uk comparing mortgage products. Excludes other terms. Users can compare multiple product types and terms per session. Figures rounded to nearest full percentage point. | |||
Source: Moneyfactscompare.co.uk
| Term | 1 February | 30 April | Change |
| Two-year fix | 4.85% | 5.79% | +94bps |
| Five-year fix | 4.94% | 5.69% | +75bps |
| Variable* | 4.41% | 4.61% | +20bps |
| *Average two-year tracker rate | |||
Source: Moneyfactscompare.co.uk
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Adam French, head of consumer finance at Moneyfactscompare.co.uk, said: “The economic consequences of the conflict in the Middle East have turned interest rate expectations on their head, pushing up borrowing costs and changing borrower behaviour. With fixed mortgage rates rising sharply in a short space of time, more borrowers appear willing to gamble on rates falling sooner than markets currently expect.
“There has been a noticeable shift among users of Moneyfactscompare.co.uk, with more than twice as many prospective borrowers exploring variable and tracker mortgages compared to just over six months ago. While these products remain a minority choice, the increase suggests more borrowers may be prepared to gamble that rates could ease in the near term.”
French continued: “Tracker and discounted variable mortgages can appear more attractive when fixed rates rise quickly, as they typically start lower. However, they also pass much more of the risk of future base rate or standard variable rate changes directly onto the borrower, rather than the lender taking on that risk through a fixed rate product.
“There has also been a shift towards shorter-term fixed options. With five-year fixes rising by more than 70 basis points since February, many borrowers appear to be favouring two-year deals in the hope the current spike in rates proves temporary.”