Cost of fixed-rate mortgage debt falls to two-year low

According to market analysis by Moneysupermarket.com, the average cost of a two-year fixed-rate mortgage debt has fallen to its lowest level in 24 months, the Telegraph reports.

New analysis revealed that the average rate for two-year fixed-rate mortgage debts has dropped by 3.36% since April 2008 - with current rates at a low of 4.62%.

This, according to Moneysupermarket.com, reduces how much someone with a fixed-rate mortgage debt of £150,000 would have to pay each month by £316 (to £853).

Meanwhile, rates on three- and five-year fixed-rate deals have also steadily decreased since September 2009. The average rate for a three-year fixed-rate mortgage debt now stands at 5.3% - down from 5.86% in July, while the average rate on a five-year fixed-rate mortgage debt is 5.83% - down from 6.4% in September.

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