The cost of servicing a mortgage fell to its lowest level in five years in November, figures showed today, with the biggest winners being home movers.

Figures from the Council of Mortgage Lenders (CML) show falling interest rates and house prices, and lenders' demands for larger deposits mean those buying a new home in November would spend 12% of their gross income on monthly interest repayments.

Best off were the 33,600 movers taking out new mortgages during the month. They borrowed an average of 67% of their new property's value and spend 10.6% of their gross income covering the interest on their home loans.

This compares with 14.4% in November 2008, and is the second lowest figure since the CML started collecting data in 1974. The lowest point was reached in the middle of 1996 when monthly interest repayments accounted for 10.2% of home movers' gross income.

First time buyers have also seen their monthly mortgage repayments drop, with the 19,300 taking out mortgages in November facing a monthly mortgage repayment equal to 14.4% of their pay, compared with 18.2% in November 2008.

However, these buyers still face having to build up a large deposit before they can take advantage of the low interest rates on offer.

Although some lenders have come back into the market with 90% loan to value (LTV) mortgages, the best deals are targeted at those with the most equity. The average loan advanced to a first time buyer stood at 75% LTV in November, compared with 83% the previous year.

In 2007 when the housing market was at its peak, first time buyers were borrowing an average of 90% of their property's value. Income multiples have also dropped.

In 2007, first time buyers borrowed an average of 3.36 times their salary, but in November the figure stood at 3.09.

The CML's director general, Michael Coogan, said it was "encouraging" that mortgage interest costs were so affordable. But he added: "With substantial deposits still needed to secure a mortgage, the market will continue to be relatively restrained for some time to come."