Mortgage affordability could return to its most manageable level in almost five years, new analysis from Interest by Moneyfacts reveals. If average mortgage rates settle around 4.25% to 4.50%, based on current assumptions. Moneyfacts forecasts the June 2026 affordability outlook to be:40.7% at a 4.25% average mortgage rate41.8% at a 4.50% average mortgage rateThis marks a significant improvement from the affordability squeeze seen in 2023 and 2024, according to Moneyfacts, when sharp rate rises pushed monthly mortgage affordability to its limits or beyond for many households. Moneyfacts head of consumer finance Adam French says: “Mortgage rates are easing, but the era of ever-cheaper borrowing is firmly behind us. A return to ultra-low interest rates might risk fuelling house price inflation and undermining long-term affordability.