Mortgage rates have fallen! Nationwide Building Society has made big cuts, with some deals now below 4%!

This week saw some of the lowest mortgage rates this year, thanks to significant cuts from Nationwide Building Society. This is great news whether you’re remortgaging, buying a new home, or a first-time buyer.

“We’re making further cuts across our fixed mortgage range to support everyone, whether they are buying their first home, moving to their next, or switching to a new deal”, explained Henry Jordan, Nationwide’s Director of Home.

Here’s a rundown of this week’s best deals, but remember: the lowest rate isn’t always the cheapest. Always check for fees and incentives!

Best Remortgage Rates

• Cumberland Building Society: 4.28% fixed for 2 years, then 8.24%. £999 fee, 60% maximum loan. Free legal fees and valuation for properties up to £750,000.
• MPowered Mortgages: 4.25% fixed for 3 years, then 7.49%. £999 fee, 60% maximum loan. Includes £256 towards legal fees and a free valuation.
• Nationwide: 3.99% fixed for 5 years, then 7.74%. £999 fee, 60% maximum loan. Free valuation and a choice of free legal fees or £500 cashback.

Cumberland Building Society now offers the cheapest two-year fixed rate for remortgages. Nationwide also has a 2-year fix at 3.94% but with a higher £1,499 fee, this is only a good deal if you’re borrowing over £300,000.

For a 3-year fix, MPowered Mortgages still offers the lowest rate. Yorkshire Building Society has a competitive 3-year deal at 4.69%, allowing you to borrow up to 80% of your home’s value, though the fee is higher at £1,495.

Nationwide’s 5-year fix at 3.99% is the most competitive in that category, especially with the added incentives.

Best Mortgage Rates for Home Movers

• Nationwide: 4.15% fixed for 2 years, then 7.74%. £999 fee, 60% maximum loan. Free valuation and up to £500 cashback based on your new home’s energy efficiency.
• HSBC: 4.14% fixed for 3 years, then 6.99%. £999 fee, 60% maximum loan. Free valuation.
• Nationwide: 3.83% fixed for 5 years, then 7.74%. £999 fee, 60% maximum loan. Free valuation and up to £500 cashback for energy-efficient homes.
• NatWest: 3.83% fixed for 5 years, then 7.99%. £1,495 fee, 60% maximum loan. Free valuation.

Nationwide shines for home movers with competitive 2 and 5-year fixes, both with low rates and good incentives. They also offer lower rates if you’re borrowing over £300,000.

HSBC has the cheapest 3-year fix. First Direct, HSBC’s sister bank, offers a slightly higher rate at 4.19% but with a much lower fee of £490.

NatWest matches Nationwide’s low 5-year fix rate but with a higher fee.

Best Mortgage Rates for First-Time Buyers

• Cumberland Building Society: 5.18% fixed for 2 years, then 8.24%. £999 fee, 90% maximum loan (not available in London and southeast England). Free valuation for properties up to £750,000.
• Nationwide: 4.64% fixed for 5 years, then 7.74%. £999 fee, 90% maximum loan. Free valuation, £500 cashback, and up to £500 more cashback for energy-efficient homes.
• Monmouthshire BS: 5.45% fixed for 2 years, then 8.49%. £1,149 fee, 95% maximum loan.
• Skipton Building Society: 5.05% fixed for 5 years, then 6.79%. £1,295 fee, 95% maximum loan. Free valuation.

Cumberland’s 2-year fix is the cheapest for first-time buyers with a 10% deposit, but it’s not available everywhere. Yorkshire Building Society’s 5.19% rate is a good alternative.

Nationwide’s 5-year fix at 4.64% is a great deal for those who prefer a longer fixed term, with added benefits like cashback and a free valuation. They also offer a no-fee option at 4.79%.

For buyers with a 5% deposit, Monmouthshire BS has the lowest 2-year fix, while Skipton Building Society leads with the lowest 5-year fix. Nationwide also has competitive deals in this category, with rates of 5.70% for a 2-year fix and 5.19% for a 5-year fix, both with no product fees.