After all the reports on how difficult it has been to get a mortgage, the reduction in interest rates in the recent months has gone almost unnoticed reports Andrew Oulsnam, Managing Partner of Robert Oulsnam & Company.
Mortgage borrowers who are looking for the security of fixed monthly repayments or are still undecided whether to move off their Standard Variable Rate (SVR) should now consider fixing their mortgage as average fixed rates have fallen across the board to their lowest levels since 2007 according to moneysupermarket.com.
Since April 2008, the average rage for two-year fixed details has fallen significantly by 3.36% with rates at a current low of 4.62%.
This reduces a fixed repayment on a £150,000 mortgage by £316 to £853. Three and five year fixed deals have also seen their averages reduce steadily since September 2009 after originally rising off the back of the last base rate reduction in March 2009. The average rate for three year fixed mortgage is now 5.3% from a July 2009 high of 5.86%. Five year average rates now sit at 5.83% from a high of 6.41% in September 2009.