Nationwide cuts mortgage interest rates by up to 0.7%

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Nationwide Building Society is cutting rates on its fixed and tracker mortgage range by up to 0.7 percentage points starting tomorrow.

New buyers will see the biggest discounts in a range of Nationwide’s two-, three- and five-year fixed mortgages and two-year trackers.

A five-year flat rate with a 5 percent down payment and no fee will be available at a rate of 5.09 percent, after a 0.7 percent reduction.

Mortgages: Nationwide is lowering rates on its fixed and tracker range

The same £999 fee mortgage will be available at a rate of 4.99 per cent, after a 0.6 per cent discount.

Refinancing products for those with deposits of at least 10 percent are also reduced by up to 0.19 percent for two-, three- and five-year fixed rates and two-year trackers.

For anyone looking to re-mortgage their property, the biggest rate reduction is a five-year fix for those with a 40 per cent down payment, at 3.99 per cent and with a fee of £999.

This is one of the lowest rates on the market, surpassed only by Virgin Money’s recently announced five-year fix at 3.95 percent.

New customers moving home can take advantage of discounts of up to 0.55 percent, according to Nationwide. Highlights include a five-year fix with a 5 per cent deposit, available at a rate of 4.99 per cent with a fee of £999.

For existing members moving home, Nationwide will also reduce rates by up to 0.55 percent on two-, three- and five-year fixed and two-year tracker rates.

Nationwide is also cutting rates on select switching products by up to 0.41 percent, with interest rates starting at 3.94 percent.

The mortgage bank said: ‘This continues the existing pledge from mortgage members, which means that Nationwide switching products will be the same or lower than those for remortgages.’

And for anyone looking to borrow more, Nationwide is cutting some two-, three- and five-year fixed and two-year tracker rates on its additional loan range by up to 0.41 percent.

The rate on green loans will also be reduced by 0.24 percent, from tomorrow a rate of 3.94 percent.

Henry Jordan, director of the home at Nationwide Building Society, said: ‘These latest changes mean that we have reduced rates for the fourth time this year and now have a rate of less than four per cent for those looking to take out a new mortgage and a rate of less than five percent for those seeking a new mortgage. cent rate for starters.

‘In a constantly changing market, we always strive to remain competitive across the board for first-time buyers, home movers and people looking to take out a new mortgage.

“We also have reduced rates on our switching range to support those coming to the end of their existing deal.

“With switching rates now starting at 3.94 percent, these latest reductions ensure we maintain our existing mortgage member price guarantee, meaning our switching products will be the same or lower than our equivalent remortgage rates.”

Any new buyer, re-mortgaging customer or new mover should take a look at the new rates and see how they compare to those of other providers.

>> View the current rates with the This is Money mortgage finder

The mini-budget in September pushed up mortgage rates, but they’ve been falling ever since.

Earlier this month, Virgin Money launched a five-year, 3.95 percent fixed remortgage deal, undercutting HSBC, which released a 3.99 percent deal the day before.

Virgin also offers a five-year fixed 3.99 percent home purchase deal.

HSBC reduced the rate for those who re-mortgage with a 40 per cent stake by 0.3 percentage point to 3.99 per cent with a fee of £999.

The number of mortgage products on the market this month passed the 4,000 mark for the first time since August last year, according to recent data from Moneyfacts.

This month, the Bank of England raised interest rates by 0.5 percentage point to a 14-year high of 4 percent.

But forecasts predict inflation has peaked, with the Bank signaling that this could be the last consecutive rise.

Price inflation in the UK fell for the third month in a row to 10.1 percent in the year to January, down from 10.5 percent in December, according to figures released today by the Office for National Statistics.

What to do if you need a mortgage

Borrowers who need to find a mortgage because their current fixed-rate contract is about to expire, or because they have agreed on a home purchase, should explore their options as soon as possible.

This is Money’s best mortgage interest calculator powered by L&C that can show you deals that match your mortgage and property value

What if I have to borrow again?

Borrowers should compare rates and speak with a mortgage broker and be prepared to trade to secure a rate.

Anyone with a fixed-rate deal expiring in the next six to nine months should research how much it would cost them to re-mortgage now — and consider getting a new deal.

Most mortgage agreements allow fees to be added to the loan and are not charged until it is closed. By doing this, borrowers can secure a rate without paying expensive arrangement fees.

What if I buy a house?

Those with an agreed home purchase should also aim to secure rates as soon as possible so they know exactly what their monthly payments will be.

Homebuyers should be careful not to overextend themselves and be prepared for the possibility that house prices could fall from their current highs, due to higher mortgage rates limiting people’s borrowing capacity.

Compare mortgage payments

The best way to compare mortgage rates and find the right deal for you is to talk to a good real estate agent.

You can use our best mortgage interest calculator to display deals that match your home value, mortgage size, term and fixed interest needs.

However, bear in mind that rates can change quickly, so if you need a mortgage it’s advice to compare rates and then speak to an estate agent as soon as possible so they can help you find the right one mortgage for you.

> Check out the best fixed rate mortgages you can apply for

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