Nationwide Building Society Announces ‘Game Changing’ Mortgage Cuts
Nationwide Building Society has announced a significant reduction in its fixed-term mortgage rates, effective from July 24, 2024.
This move makes Nationwide the first major high-street lender to offer a five-year fixed-rate mortgage below 4%.
Russell Griffin, Director at Samuel Wood, said Nationwide’s decision to reduce its fixed-term mortgage rates was a “game-changer for the market.”
“By being the first to offer a five-year fixed-rate mortgage under 4%, Nationwide is setting a new benchmark for affordability and competitiveness which the property industry will welcome.,” he said.
According to Nationwide’s announcement, the rate cuts, up to 0.25 percentage points, apply across two, three and five-year fixed-rate products.
Furthermore, the lender is set to offer new customers who are moving home, the five-year fixed rate at 60% Loan to Value (LTV) with a £1,499 fee at 3.99%, while the same rate with a £999 fee is 4.04%.
First-time buyers will benefit from the five-year fixed rate at 85% LTV with a £999 fee, now reduced to 4.55%.
Russell added: “These reductions are particularly beneficial for first-time buyers, who often struggle to find affordable financing. Nationwide’s new rates could provide the much-needed relief for many looking to enter the housing market.”
For homeowners who are remortgaging, the five-year fixed rate at 60% LTV with a £1,499 fee is now 4.27%, and the two-year fixed rate at 75% LTV with a £999 fee is 4.79%.
Selected two, three, and five-year switcher rates up to 95% LTV are also being reduced by up to 0.25%, with rates starting from 4.24%.
These changes align with Nationwide’s pricing pledge, ensuring that all switcher product rates are the same or lower than remortgage equivalents.
Nationwide claims that existing customers moving home will see rate reductions of up to 0.23% on selected fixed-rate products up to 95% LTV.
Additionally, rates for additional borrowing on two, three, and five-year fixed products up to 90% LTV are being cut by up to 0.25%. Selected two-year tracker products, however, will see a rate increase of up to 0.15%.
Russell concluded: “Nationwide’s proactive approach to reducing rates demonstrates their commitment to supporting borrowers. It’s a positive step for the housing market and will likely prompt other lenders to follow suit, ultimately benefiting consumers across the board.”
Samuel Wood is a leading Shropshire Estate Agent and would recommend that anyone who is looking to secure a mortgage deal should call Hilltop Mortgage Solutions to qualify any financial enquiries. Simply click on the link here to arrange an appointment with Hilltop.
For more information about Samuel Wood, please visit www.samuelwood.co.uk , call 01743 01743 272710, or email shrewsbury@samuelwood.co.uk