Ian Giles, Marketing Director of Purely Mortgages, said: "Nationwide Building Society storms back to the top of the best buy tables with its new 4.39% 2 year fixed rate, with free legals and free valuation.
"Swap rates are slightly down this week down this week; 2 year money is down by 0.07% to 4.36%, 3 year money is down by 0.03% to 4.39% and 5 year money is down by 0.01% to 4.45%. The market has already discounted a base rate cut in August or September and is edging towards another reduction after that, giving a 4.25% base rate by the end of the year. Fixed rates probably have further to fall, but trackers are looking great value right now.
"Apart from the Nationwide, lenders who have reduced rates include Northern Rock, Abbey and Nottingham BS who have launched 2 superb fixed rates – 4.74% for 3 years and 4.74% for 5 years with free valuation and free legals for remortgages."
Selection of Current ‘Best Buys’
NB We only feature products with no overhanging tie-ins, which lead to poor long term value, and no deep short term discounts, which create payment shock.
Lender
Rate
Term
Initial Rate
Reverts To
APR
Incentives
Lender Arr. Fee
Fixed/Capped
Nationwide Building Society
4.39% Fixed
2 years
4.39%
5.99%
6.0%
Free legal fees and free valuation for remortgages
£484
Portman Building Society
4.50% Fixed
Until 31/8/10
4.50%
6.74%
6.2%
£499
Tracker
Purely Mortgages Exclusive
0.13% under Bank Base Rate
2 Years
4.62%
5.75%
5.9%
Refund of valuation and free legal fees for remortgages
£549
Alliance & Leicester
0.16% under Bank Base Rate
2 years
4.59%
5.50%
5.6%
£395
Discount
Alliance & Leicester
2.95% discount from SVR for 2 years then 1.25% over base for 1 year
3 years
3.89%
6.84%
6.6%
£395
Saffron Walden Building Society
1.96% discount from SVR
2 years
4.63%
6.50%
6.59%
Refund of valuation and free legals for remortgages.
£349
Buy to Let
Platform
4.79% Fixed
Until 1/10/08
4.79%
6.70%
6.7%
6.6%
1.5% fee
