The prospect of further increases in the base rate has prompted a record uptake of fixed-rate mortgages by first time buyers. In January of this year, 85% of first-time buyers took out a fixed-rate deal - the highest percentage on record, according to the Council of Mortgage Lenders (CML). Among house-movers 70% chose a fixed-rate deal. The average interest rate of these deals was 5.27%, following the 3 rate rises since last August. "Each month it seems that the prospect of another interest rate rise is balanced on a knife edge," commented Michael Coogan, director general of the CML. "More and more borrowers are protecting themselves against this risk and choosing the certainty of fixing their monthly mortgage payments," he added. Such speculation should further fuel the ongoing demand for fixed rate deals on mortgages & remortgages, Michael Cooke from homeowner loans specialist The Loan Helper comments "of course, homeowners often need to raise further funds from time to time, and for those who have already secured a fixed rate, a remortgage often does not make financial sense compared to a secured loan which often serves their needs much better by keeping that great fixed rate mortgage deal in place, yet still utilising available equity to secure a low rate loan to provide the funds required." Despite the increased cost of mortgages, house prices are still increasing around the UK. The Communities and Local Government Department (DCLG) reported recently that house price inflation in January had gone up to 10.9%, pushing the cost of the average house up to �205,286. However, many believe that the market may, eventually, cool off. The Royal Institution of Chartered Surveyors (RICS) reported that in February new enquiries to estate agents from potential purchasers fell for the 3rd month in a row. "The interest rate rises have started to worry would-be buyers with many concerned that they will be unable to meet mortgage repayments," commented RICS spokesman, Ian Perry. "Affordability for many will continue to decrease in the coming months as the January rise, and further rises take effect."