Nationwide Building Society has slashed interest rates across its fixed mortgage range in another overhaul. The announcement comes ahead of the Bank of England’s upcoming base rate decision this month. The lender confirmed that the cuts would be effective from December 5, with deals for first-time buyers and new and existing customers.
The Bank of England’s Monetary Policy Committee (MPC) meeting, scheduled for December 18, is widely expected to see rate-setters reduce the central interest rate from 4% to 3.75%. Ahead of the decision, Nationwide has cut mortgage rates by up to 0.21% points across two, three and five-year products in positive news for first-time buyers, as well as those moving home or searching for a new mortgage deal.
Carlo Pileggi, Nationwide‘s head of Mortgage Products, said: “We’re making cuts across our fixed rate mortgage range with even more of our rates now below 4%.
“These latest changes, which follow hot on the heels of the wide-ranging rate cuts we made at the end of last week, demonstrate that Nationwide remains focused on offering competitive rates to first-time buyers, home movers and those looking for a new deal.”
Nationwide’s current lowest rate is at 3.58%, making it the first time that the building society has offered a deal lower than 3.6% since September 2022.
The building society also noted that these changes align with its existing mortgage customer pricing pledge, which affirms that all switcher product rates will be the same or lower than remortgage equivalents.
First-time buyers
- Two-year fixed rate at 85% LTV with a £999 fee is a 3.92% (reduced by 0.16%)
- Two-year fixed rate at 95% LTV with no fee is 4.68% (reduced by 0.21%)
- Five-year fixed rate at 95% LTV with a £999 fee is 4.78% (reduced by 0.11%).
First-time buyers also reciever £500 cashback when they complete their mortagage with Nationwide.
Exisiting and new customers moving home
- Two-year fixed rate at 60% LTV with a £1,499 fee is 3.58% (reduced by 0.02%)
- Two-year fixed rate at 75% LTV with a £999 fee is 3.67% (reduced by 0.12%)
- Two-year fixed rate at 85% LTV with a £999 fee is 3.81% (reduced by 0.13%)
- Five-year fixed rate at 60% LTV with a £999 fee is 3.80% (reduced by 0.04%)
First-time buyers and those moving home can also benefit from cashback of up to £500 if they purchase an energy-efficient property through Nationwide’s Green Reward.
Switcher (for existing Nationwide customers coming to the end of their current mortgage deal):
- Two-year fixed rate at 60% LTV with a £999 fee is 3.65% (reduced by 0.07%)
- Five-year fixed rate at 60% LTV with a £999 fee is 3.74% (reduced by 0.10%)
- Three-year fixed rate at 75% LTV with a £999 fee is 3.93% (reduced by 0.06%)
Remortgage: reductions of up to 0.14% across two, three and five-year fixed rate products up to 95% LTV, including:
- Two-year fixed rate at 60% LTV with a £1,499 fee2 is 3.65% (reduced by 0.07%)
- Five-year fixed rate at 60% LTV with a £999 fee is 3.79% (reduced by 0.10%)
- Three-year fixed rate at 85% LTV with no fee is 4.35% (reduced by 0.14%)
