Nationwide announces fourth mortgage rate cut in January

With effect from Wednesday 30 January, Nationwide Building Society is cutting its tracker rates by up to 0.50 percentage points and selected fixed rates by up to 0.30 percentage points.

It means the Society will offer a three-year fixed rate for new borrowers with a 40% deposit at 2.59 per cent, with rates for new customers with a 25% deposit now starting from 2.89 per cent.

Existing borrowers will continue to benefit from rates 0.10 percentage points lower than new business rates.

Key highlights include:

New 2.59% three-year fixed rate up to 60% LTV with £900 fee (2.49% for existing borrowers)
First time buyers pay a reduced fee of £400
Remortgage borrowers receive a free standard valuation and the choice of either free standard legals or £250 cashback, payable one month after completion
A non-refundable booking fee of £99 is payable on reservation

New 2.89% two-year fixed rate up to 75% LTV with £900 fee (2.79% for existing borrowers)
First time buyers pay a reduced fee of £400
Remortgage borrowers receive a free standard valuation and the choice of either free standard legals or £250 cashback, payable one month after completion
A non-refundable booking fee of £99 is payable on reservation

New 2.49% two-year tracker rate up to 60% LTV with £900 fee (2.39% for existing borrowers)
First time buyers pay a reduced fee of £400
Remortgage borrowers receive a free standard valuation and the choice of either free standard legals or £250 cashback, payable one month after completion
A non-refundable booking fee of £99 is payable on reservation

Tracie Pearce, head of group mortgages at Nationwide, said: "Nationwide is demonstrating that it really is open for business by announcing its fourth rate cut in January alone.

"These reductions clearly demonstrate our commitment to offer competitive, quality and affordable products to both new and existing customers, at all LTVs."

For more information, visit nationwide.co.uk.