Five-year fixed mortgages hit record low with Co-op's 2.79% rate | Mail Online

Five-year fixed mortgages hit record low with Co-op's 2.79% rate | Mail Online

A fresh round of mortgage rate cuts has delivered a new record low five-year fixed rate at just 2.79 per cent - allowing home owners to lock their payments at a low level until March 2018.

The deal from Co-op Bank has set a new benchmark for increasingly popular five-year fixed rate mortgages, but borrowers will need a 40 per cent deposit and to pay a fee of £999.

Borrowers with smaller deposits also saw rates cut by the Co-op, with those able to put down a 10 per cent deposit handed a rate cut of 0.3 per cent to take a fee-free five-year fixed rate mortgage down to 4.79 per cent.

The Co-op’s move has delivered the lowest ever five-year fix offered, considerably below the 2.95 per cent rate offered by RBS earlier this year ....