Nationwide Building Society is making reductions to selected fixed rate mortgages by up to 0.50%.
The reductions have been targeted to benefit both first-time buyers and those with larger deposits.
The 60% loan-to-value (LTV) two-year fixed rate deal is being reduced by 0.15% and starts at 1.29% with a £999 fee and 1.69% with no fee.
At the same time, the rates for those with a 10% deposit are being reduced to 1.99% with a £999 fee and 2.39% with no fee.
The five-year fixed rate mortgage product up to 60% LTV starts at 1.79% with a £999 fee and 1.99% with no fee.
Meanwhile, the 10-year fixed rate mortgages are being reduced by up to 0.50%, starting at a 2.49% for the 60% LTV product with a £999 fee and 2.59% with no fee.
Tracker rates are also being reduced, with the two-year products starting at 1.04% with a £999 fee and 1.44% with no fee. Selected rates on shared equity products will also see reductions, with fixed rates at 75% LTV reduced to 1.39% with a £999 fee and 1.79% with no fee.
Nationwide said that in the event of a Bank Rate rise of 0.25%, the base mortgage rate and standard mortgage rate products will increase to 2.5% and 3.99%, respectively.
Variable rates linked to the Bank Rate from Nationwide’s specialist lending subsidiaries, including The Mortgage Works, will also increase by 0.25% if the Bank Rate rises.
Henry Jordan, Nationwide’s director of mortgages, said: “As the likelihood of a rise in the Bank of England Base Rate increases, mortgage holders will be considering their options. The changes announced today offer improved choices across our range and are equally available to new customers and to existing members switching product with us.”
