Lender reduces pricing across its entire fixed range, with its lowest rate now at 4.29%
Nationwide Building Society will cut rates across its fixed mortgage range from Tuesday, with reductions of up to 28 basis points applied to two-, three-, five-, and 10-year products. The changes affect first-time buyers, home movers, and borrowers remortgaging.
The building society's lowest rate now stands at 4.29%, available on a two-year fixed product for home movers at 60% LTV with a £1,499 fee.
Rate reductions of up to 20bps apply across two-, three-, and five-year fixed products up to 95% LTV. Selected rates include a five-year fix at 90% LTV with no fee at 4.89%, down 0.20 percentage points, and a five-year fix at 60% LTV with a £1,499 fee at 4.62%, down 0.12 percentage points.
First-time buyers continue to receive £500 cashback on completion, with a further cashback of up to £500 available through Nationwide's Green Reward scheme for purchases of energy-efficient properties.
Reductions of up to 28bps apply across two-, three-, five-, and 10-year fixed products up to 90% LTV. A two-year fix at 60% LTV with no fee is now priced at 4.83%, and a two-year fix at 85% LTV with a £999 fee at 4.89%.
The changes follow rate cuts made the previous week to Nationwide's switcher range for existing customers approaching the end of their current deal. Under its existing customer pricing pledge, all switcher product rates will match or undercut remortgage equivalents.
Existing and new customers moving home will see reductions of up to 17bps across two-, three-, five-, and 10-year fixed products up to 95% LTV. A two-year fix at 90% LTV with no fee is now 4.99%, and a five-year fix at 80% LTV with a £999 fee is 4.59%.
Nationwide has maintained its policy of offering existing customers moving home rates that are equal to or lower than those available to new customers.
"We're delighted to be cutting rates again as we look to put Nationwide at the forefront of borrowers' minds," said Carlo Pileggi (pictured right), head of mortgage products at Nationwide.
"These changes will support first-time buyers and home movers, as well as provide competitive options for those looking to remortgage. Following the rate cuts last week to our switcher range for existing customers, this underlines our role as an all-round lender focused on supporting borrowers across the housing market."
Broker commentary has highlighted the significance of the changes against Nationwide's existing market position.
"Nationwide is making an unusual move by undercutting itself with these latest rate changes as the building society is already topping many of the best buy tables," said Aaron Strutt (pictured right), product director at Trinity Financial.
"I think this shows how keen the lender is to attract more customers and issue more mortgages at a time where many banks and building societies would prefer the property market to be a bit busier. The lender will have the cheapest two-year home mover fixed rates on the market at 4.29% and the lowest five-year fix at 4.34% both for mortgages between £300,000 and £5 million. These rates have £1,499 arrangement fees and applicants need to have a 40% deposit to qualify.
"If you are on the hunt for a larger mortgage, then these rates will be hard to beat whether it's through the deals offered to existing customers or private banks. Nationwide was already offering many of the most competitively priced fixes and it is clearly looking to cement its place at the top of the best buy tables to make sure it is one of the first lenders borrowers look at when they want a cheap mortgage. It is good to see the price cuts still coming through.
"If you are on the hunt for a mortgage, there are some good deals to choose from as well as some generous income stretches. Nationwide's fixed rates start from 4.74% for first time buyers with a 10% deposit, which is pretty reasonable."
Want to be regularly updated with mortgage news and features? Get exclusive interviews, breaking news, and industry events in your inbox – subscribe to our FREE daily newsletter. You can also follow us on Facebook, X (formerly Twitter), and LinkedIn.
