Nationwide Building Society has lowered the price of many of its remortgage rates and introduced a sub-1.2% fixed rate.
The lender has reduced its remortgage rates by up to 0.35% for borrowers with between 25% and 15% equity in their homes.
Nationwide's lowest rate is fixed for two years at 1.19% and it is available for remortgages between £300,000 and £1 million. Applicants will need a 40% equity in their property to qualify and after the fixed period, the mortgage reverts to the 3.59% standard variable rate. The APRC is 2.9% and the arrangement fee is £1,499.
Aaron Strutt, product director at Trinity Financial, says: “Our brokers have access to a selection of lenders offering sub-1.2% two-year fixed rates for property purchase and remortgages, also access to seven lenders offering sub-1.5% five-year fixes. The lenders will typically cover the cost of the property valuation and legal fees to reduce the cost of switching providers.
“There is £37.2 billion worth of mortgages are up for renewal in the next three months according to the Yorkshire Building Society, so many borrowers will switch to expensive standard variable rates unless they take action.”
One of the largest banks confirmed to Trinity Financial that many of its existing customers do not switch products until they notice the increased monthly repayments leaving their bank account.
Call Trinity Financial on 020 7016 0790 to avoid an expensive standard variable rate or book a consultation
Nationwide started offering interest-only again to borrowers remortgaging to the building society in April 2020. Initially, it's interest-only available through mortgage intermediaries like Trinity Financial and to wealthier borrowers.
Here is the lender's acceptance criteria.
- Applicants will need a 40% deposit to quality and have equity in their property.
- Maximum 25-year term
- Minimum income requirements of £75,000 for individual applicants or £100,000 for joint income applications.
- Sale of the main residence as a repayment strategy