Nationwide announces changes to mortgage range

Nationwide Building Society have announced the following changes to its mortgage product range, which will be effective from Thursday 28 August:

Fixed rates cut by up to 0.20%;

New five year fixed rate with a £1,499 fee, available from 5.88% for house purchasers and 5.68% for remortgage, further advance and existing customers wishing to switch to a new deal;

Introduction of a new LTV tier at 60% LTV across all products;

Borrowers may see a reduction in the tracker rate available, no change or a slight increase depending on their LTV tier;

For large loan borrowers with an LTV of up to 60% Nationwide will increase maximum borrowing from £500,000 to £1 million on all products except those with a reservation fee of £1,499, where the limit will remain at £500,000.

Matthew Carter, Nationwide's director of mortgages, said: "We are pleased to be in a position once again to reduce rates on a number of deals available to customers who are buying a home, remortgaging, switching their current mortgage deal or taking a further advance. These changes demonstrate our commitment to offering good value mortgage deals in what continues to be a challenging time in the market."

Nationwide is currently waiving the £599 reservation fee, for a limited period, for existing borrowers who are looking to switch their Nationwide deal. In addition to this, most of these borrowers will now benefit from a lower mortgage rate.

All customers who have a mortgage interview in a branch or over the phone before 30 September will be entered into a free prize draw and 10 lucky winners will have their mortgage payments up to £10,000 made by Nationwide for a whole year.