Some remortgage rates will fall by up to 0.35 percentage points and selected switcher rates by up to 0.13 percentage points. It will also be reducing selected rates for new and existing customers moving home by up to 0.10 percentage points.
Yorkshire Building Society has also announced rate reductions, with some 5% deposit deals being reduced by up to 0.97 percentage points.
Its highlights include a two-year fixed rate for home buyers with a 25% deposit at 4.44%, down from 4.56%, with a £495 fee and free standard valuation.
Earlier this week Barclays and Santander UK also launched new deals, coming in below four per cent.
Justin Moy, Managing Director at EHF Mortgages says: “The good news from popular mortgage lenders keeps on coming. Any rate cuts will make such a difference to those remortgaging or investing in property.”
Emma Jones, Managing Director at Whenthebanksaysno.co.uk adds: “As the week goes on the rate cuts keep coming. In the current economic climate, with the country delivering negligible growth, households need whatever support they can get.
“With Nationwide joining other major lenders such as Barclays and Santander this week in reducing rates, the mood music in the mortgage market is improving.
“There are still numerous economic headwinds but this is another small win for the UK’s borrowers.”
There’s also good news for the buy to let market as Nationwide’s buy-to-let arm TMW is offering cuts of up to 0.50%.
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“In a welcome move that’s music to borrowers’ ears, it’s quite refreshing to see one of Britain’s biggest lenders joining the rate-cutting party, giving both homeowners and landlords something to smile about,” says Dariusz Karpowicz, director at Albion Financial Advice.
“These reductions are certainly making waves in the mortgage market, though they might not quite pip the headline-grabbing deals from Barclays and Santander. Nevertheless, it’s another clear signal that lenders are keen to get their lending books flowing, taking advantage of improved swap rates and offering some much-needed relief to those looking to remortgage or expand their property portfolio.”
Katy Eatenton, Mortgage & Protection Specialist at Lifetime Wealth Management adds: “Landlords need all the support they can get at present and finally that support is materialising.”