Nationwide reduce the interest on fixed rate mortgages
From 16th May 2008 the Nationwide Building Society will cut the interest rates on 2 year and 5 year fixed rate mortgages.
For house puchasing the new products will be as follows;
- 2 year fixed rate mortgage, £599 fee, from 5.95 per cent (previously £499 fee and 6.10 per cent)
- 2 year fixed rate mortgage, no fee, from 6.35 per cent (previously 6.50 per cent)
- 5 year fixed rate mortgage, £599 fee, from 5.85 per cent (previously £699 fee and 6.15 per cent)
For remortgaging and additional borrowing the new products are;
- 2 year fixed rate mortgage, £599 fee, from 6.15 per cent (previously £499 fee and 6.30 per cent)
- 2 year fixed rate mortgage, no fee, from 6.55 per cent (previously 6.70 per cent)
- 5 year fixed rate mortgage, £599 fee, from 5.95 per cent (previously £699 fee and 6.15 per cent)
And there is an exclusive deal for Nationwide borrowers who are changing their mortgage, this is a 5 year fixed rate mortgage, with no fee, from 5.95 per cent, previously 6.15 per cent.
Not a bad set of rate cuts and new products for existing and new customer to consider. Perhaps this is one of the first signs that we’re starting to head out of the bad times and lenders can infact afford to pass on any future interest rate cuts to their customers…
Matthew Carter, divisional director for mortgages at Nationwide, said: “Recent reductions in money market swap rates mean we are able to reduce the rates on our two year and five year fixed rate mortgages. This is good news for home-buyers, re-mortgage customers and borrowers who are coming to the end of their existing deals. Nationwide continues to offer a range of mortgages up to 95% loan to value, including two recently launched deals which offer first time buyers a £300 discount on the reservation fee.”
>>click here to compare mortgage rates and find the best deals