Nationwide cuts fixed rate mortgages

Rates across the full range of two-year fixed rate products up to 95 per cent loan-to-value have been reduced, with the 60 per cent two-year fixed rate product starting at 1.29 per cent with a £999 fee and 1.69 per cent with no fee.

For those with a 5 per cent deposit rates are 3.69 per cent with a £999 fee and 4.09 per cent with no fee.

Henry Jordan, Nationwide’s head of mortgages, said: “We are reducing rates across the range of fixed rate products, for those with both large and small deposits.

“As well as offering additional member benefits to first-time buyers, home movers and those remortgaging to the society, we are extending member choice as well as offering a wide range of competitive mortgage rates.”

The three-year fixed rate products start at 1.59 per cent with a £999 fee and 1.89 per cent with no fee at 60 per cent LTV, ranging to 4.09 per cent with a £999 fee and 4.39 per cent with no fee for at 95 per cent LTV.

For the three-year fixed rate product range, rates start at 1.89 per cent with a £999 fee and 2.09 per cent with no fee at 60 per cent LTV, up to 4.49 per cent and 4.69 per cent respectively for products at 95 per cent LTV.

Meanwhile, the rate for the 75 per cent LTV five-year tracker product with a £999 fee is reduced to 2.14 per cent.

All Nationwide tracker mortgage products currently have no early redemption charges.

Existing mortgage customers benefit from a 0.1 per cent discount on the new customer rate, as well as a £250 cashback for mortgage customers switching to a new deal or moving home.

Toby Keate, a financial adviser with London-based Taylor James Financial Services, said: “This is very much in line with the better offerings on the market at this time.

"As a rate it is possibly not the most competitive but it is certainly getting that way.

“If you look at 95 per cent LTV products, in an area of the market where there is limited lender interest it is good to see rates coming down.”

damian.fantato@ft.com