Nationwide announces major change for customers ‘from today’ | Personal Finance | Finance
Nationwide has updated customers (Image: Bloomberg, Bloomberg via Getty Images)
Two further high street lenders have revealed they are slashing mortgage rates, with Nationwide and Halifax joining TSB, Santander, Barclays, HSBC and other leading names in repricing downwards this week. However, with tensions escalating once more in the Middle East, brokers warned “those now looking through the shop window for a new mortgage deal may want to consider jumping in, just in case”.
Nationwide confirmed on Thursday afternoon that from Friday, April 24, it would be reducing selected fixed rates by up to 0.25%. This encompasses rates across its First Time Buyer, Home Mover and Existing Customers Moving Home ranges.
Meanwhile, Halifax has unveiled rate reductions of up to 0.15% on fixed rate products throughout its Homemover and First Time Buyer ranges. Earlier on Thursday, TSB disclosed it was trimming residential rates by up to 0.6%.
Riz Malik, Independent Financial Adviser at Southend-on-Sea-based R3 Wealth, said: “Lenders are reacting to more favourable market pricing and are now passing it onto their customers. It is very clear that lenders want to lend, but we are not out of the woods yet.
“These cuts could be a short window of opportunity, especially if the ceasefire doesn’t hold. But either way, they are a welcome relief to a mortgage market that is still recovering from a shock that came out of nowhere.”
Halifax has also cut rates (Image: Jonathan Brady/PA)
Read more: New ‘good news’ announcements for TSB, first direct and Santander customers
Read more: HMRC tax allowance ‘frozen for 17 years’ and ‘gets worse in 2027’
Dariusz Karpowicz, director of Doncaster-based Albion Financial Advice, also suggested borrowers may wish to act swiftly: “Nationwide stepping in with cuts up to 0.25% from Friday is exactly the nudge this market needed.
“The catch? The Middle East situation is far from settled and funding costs could bounce back within days. If you are remortgaging or buying, get your application in now.”
Justin Moy, managing director at Chelmsford-based EHF Mortgages, described the cuts as “decent” and “timely”, likewise urging prospective buyers to seize these rates while they remained available.
He said: “Are we out of the troubles? Not yet. There is still much that can happen that may turn these rate cuts upside down, so those now looking through the shop window for a new mortgage deal may want to consider jumping in, just in case.”
Babek Ismayil, CEO at homebuying platform OneDome, stated that the stagnation in the property market, which was evidently concerning lenders, presented a considerable opportunity for those seeking to get a foot on the ladder.
He said: “The uncertainty resulting from the war has created a strong environment for buyers to negotiate hard with sellers and snap up property at a much reduced price. People need to remember that securing a competitive price for a property can often mitigate the impact of higher mortgage rates, which they can remortgage off in the years ahead anyway.”
