Do customers really want an 18-month mortgage product?

Do customers really want an 18-month mortgage product?


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In what one broker has described as an “intriguing innovation”, Halifax has launched a 1.5 year fixed rate remortgage product. 

It says the customer must use their own conveyancer and that the remortgage conveyancing service does not apply to these products. The product includes a £250 cashback.

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Financial editorial service Newspage asked brokers for their thoughts.

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Jack Tutton, director at SJ Mortgages, comments: “This is intriguing … With forecast base rate reductions for next year, we’ve seen a rise in tpeople looking for shorter fixed rate products … It’s interesting they have only offered this to customers looking to remortgage. This must be down to them understanding that rates are higher than what many are used to.”

Iain Swatton, director at Exemplar Financial Services, says this seems like a savvy play for borrowers betting on future rate cuts without committing to a long-term fix. “By skipping free legals, Halifax appears to be weeding out speculative applications, but the cashback offer softens the blow for genuine borrowers. It’s a calculated move that offers flexibility and shows Halifax is tuned into market sentiment.”

There’s a more suspicious response from Craig Fish, director at Lodestone Mortgages & Protection, who asks: “What on earth are they expecting to happen mid-2026, to be offering a 1.5 year fixed rate? Maybe they know something that we don’t?”

Dariusz Karpowicz, director at Albion Financial Advice, is full of praise. “This unconventional term length offers borrowers a fresh alternative to traditional fixed periods … This strategic product launch appears well-timed, providing homeowners with a pragmatic middle ground between variable rates and longer-term fixes during a period of interest rate volatility … It could well prove to be a trendsetter, with other lenders potentially following suit.”

And Rohit Kohli, director at The Mortgage Stop, sees it this way: “It’s great to see innovation from a major lender like Halifax. This 1.5-year fixed product is clearly designed for those hoping rates will fall in the next couple of years, giving them flexibility without committing to a long-term deal. However, the devil will be in the detail—particularly around exit fees—which will determine how appealing this option really is.”

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