Nationwide launches ten-year fixed rate

This matches Nationwide’s two, three and five year fixed rates and it claims it is the most competitive rate for a ten-year fixed rate mortgage available.

Competitor comparison of rates and arrangement fees for ten-year fixed rate mortgages from Nationwide:

Nationwide Co-op Halifax Northern Rock

90% LTV: 5.19% 5.49% 5.79% 5.49%

Arrangement fee: £389 £399 £399 £695

Borrowers who take Nationwide’s ten-year fixed rate mortgage will mature on to the fully flexible BMR at the end of the fixed rate term. During the period of the loan, customers are able to over or under pay and take the loan with them should they decide to move. In addition, Nationwide say its early repayment charges are some of the lowest in the market: for example, a borrower who chooses to redeem their mortgage in the seventh year will pay just 2% of the value of the outstanding loan, compared to 4% or more with other lenders. As with all Nationwide mortgages, this new product will be available to both new and existing customers.

Nationwide executive director, Stuart Bernau said: “We recognise that many borrowers want the security of knowing how much their mortgage payments will be each month and they don’t want to keep switching to a new fixed rate every couple of years. Therefore we have launched the 10 year fixed rate mortgage to meet the needs of these borrowers who want to prevent future interest rate increases pushing up their payments. All our fixed rate mortgages are from 5.19% and this makes Nationwide’s mortgage range simple for consumers.”

All Nationwide fixed rate mortgages allow borrowers the additional flexibility to overpay or underpay during the deal period and are available to all borrowers.