Nationwide to launch 0.99 per cent deal and FTB rates set to fall

Nationwide to launch 0.99 per cent deal and FTB rates set to fall

 

The two-year fixed rate deal will be priced at 0.99 per cent from Wednesday 2 June after the mutual trims the cost of the remortgage-only product by 0.05 per cent.

It will be the second sub-one per cent deal to hit the shelves within a month as competition for mortgage business hots up.

TSB launched its 0.99 per cent remortgage-only two-fixed rate in May also at 60 per cent loan to value (LTV). TSB is charging an arrangement fee of £1,495 while Nationwide’s fee comes in at £1,499.

The mutual is also trimming rates across its first-time buyer and homemover ranges up to 90 per cent LTV.

Highlights from the refreshed rates include a first-time buyer two-year fixed rate mortgage cut by 0.05 per cent to 3.04 per cent which comes with a £999 fee and 0.05 per cent cut to its five-year fix for homemovers bringing the rate down to 3.34 per cent.

For the society’s existing members moving home, Nationwide is reducing rates by up to 0.15 per cent on selected two and five-year products up to 95 per cent LTV.

Nationwide is also reducing selected further advance, family deposit mortgage and switcher rates by up to 0.05 per cent.

Henry Jordan (pictured), Nationwide’s director of mortgages, said: “As the UK’s largest building society, helping people into their first home or to move to their next is a core part of what we do and that commitment to those borrowers is evidenced by these latest rate cuts. We also want to ensure that Nationwide is the first port of call for those looking for a new mortgage deal, which is why we are pleased to be able to launch a sub-one per cent rate for those looking to remortgage.”