This is according to new analysis from Evaluate Technologies, which shows that fixed rates are still more expensive than they were in March - when the Bank of England cut rates to its low of 0.5%.
In March, best buy tables showed average fixed rates were 4.37% across two, three and five-years compared to 4.9% now, the independent mortgage comparison service says.
The good news though is that best-buy variable deals have fallen from 4.4% in March to 3.4% now for borrowers with a deposit of 25%. And Evalulate Technologies believes lenders still have a long way to go with rate cuts despite recent high-profile announcement from the likes of Nationwide, Northern Rock, Abbey, Alliance & Leicester, the Post Office and Cheltenham & Gloucester.
Julie Speed, national accounts director at Evaluate Technologies said: "The recent round of rate-cutting is very welcome as it confirms that lenders are now starting to compete again on price.
"There still appears to be plenty of room for manoeuvre though and lenders have a long way to go before rates are even back to where they were in March particularly on fixed rate deals. Borrowers are paying a high price for certainty by opting for fixed rate deals currently.
"The FSA's mortgage market review has heralded a return to sensible affordability rules and it is clear that at 75% LTVs lenders can afford to cut rates while still being entirely responsible."
