Nationwide reduces fixed rates

24 October 2007
Nationwide Building Society has cut the price of some of its fixed rate mortgage deals to make them some of the most competitive rates available.
With effect from 26 October 2007, its five year fix will be charged at 5.63 per cent, with areduced fee of £499 for homebuyers and those re-mortgaging..
Nationwide is also cutting the rate on its 25 year fixed rate mortgage, which will now be available at 5.98 per cent, with a fee of £599
The five year fixed rate mortgage is lower than that of Halifax, Abbey and Alliance and Leicester and the 25 year fixed rate is also competitive. Recent volatility in the financial markets and uncertainty over the outlook for interest rates means that now may be a good time to consider taking a fixed rate mortgage
Matthew Carter, Nationwide divisional director for mortgages says: “We hope these new deals will appeal to the quarter of a million borrowers who are due to mature from two year fixed rate mortgages between October and December this year. The new rates should ease the pain of the rate shock these borrowers could experience as their current deals end, which had an industry average rate of just 4.56 per cent.”
All Nationwide fixed rate mortgages offer borrowers the additional flexibility to overpay, underpay and take payment holidays. They are also fully portable, so borrowers can take their mortgage with them if they decide to move to a new home during the fixed rate period. Borrowers who remortgage to Nationwide from another provider can also benefit from free legal assistance and valuations.