Nationwide seem to have followed suit and dropped their rates following the recent interest drop. Now at 2.69% with a £999 fee or 2.79% no fee. LTV is 60%. May be of interest for existing customers who would rather stay with Nationwide. Will let you figure out what works best for you!
Top comments
MarkShopper
15 Aug 1611#7
Nationwide are very good for mortgages. Rather than doing a long term fix, consider a shorter term deal with a much lower interest rate. The money you save can be paid off the mortgage as overpayments, reducing further the interest you will end up paying.
LurkingLawyer
15 Aug 1610#1
They really are trying to get people off that 0.5% above base rate, aren't they....?
Not tempting enough to make me give it up just yet.
cbrpaul to MarkShopper
16 Aug 164#29
Great advice , i tied into a 5 year fixed 2.5 years ago , but overpaid as much as I could during that 2.5 years, i can now pay it off fully if i so wish , but I will get smashed with a £3000 ERC !!
So I will pay 99% of it off and pay £10 a month on £500 outstanding for the next 2.5 years to avoid the ERC :sunglasses:
crumpetman to LurkingLawyer
15 Aug 163#5
I thought I was doing well with base rate plus 1%.
All comments (62)
LurkingLawyer
15 Aug 1610#1
They really are trying to get people off that 0.5% above base rate, aren't they....?
Not tempting enough to make me give it up just yet.
spmahrous to LurkingLawyer
15 Aug 161#4
Isn't the guarantee no more than 2% above the base rate?
crumpetman to LurkingLawyer
15 Aug 163#5
I thought I was doing well with base rate plus 1%.
daydreamer01
15 Aug 161#2
What loan to value?
rich_1986
15 Aug 161#3
The OP's deal LTV is 60% maximum. They do actual do 2.89% with a £999 fee on 70% LTV mortgages fixed for 10 years. 3.09% for 75% LTV....and so on.
garethsmith72
15 Aug 161#6
The bmr is base plus 2% fixed for length of account..plus its portable.
jazid to garethsmith72
15 Aug 162#8
Fwiw Bmr is set to drop to 2.25% soon. They'll still be making money on this old product though.
Nationwide are very good for mortgages. Rather than doing a long term fix, consider a shorter term deal with a much lower interest rate. The money you save can be paid off the mortgage as overpayments, reducing further the interest you will end up paying.
JJBDude to MarkShopper
16 Aug 162#9
Bought my house at 23 and despite the estate agents broker pleading with me to go for a 5 or 10 year deal for security I stuck to my guns and went 2 year with nationwide.
That 2 years has recently passed and thanks to mortgage overpayments (as you rightfully suggest) I signed up again for a 2 year deal at a cheaper rate which is working out to be £140 cheaper a month compared to when I got the house!
So personally I wouldn't go for this 10 year deal. I can understand the safety of it but it's just not for me.
cbrpaul to MarkShopper
16 Aug 164#29
Great advice , i tied into a 5 year fixed 2.5 years ago , but overpaid as much as I could during that 2.5 years, i can now pay it off fully if i so wish , but I will get smashed with a £3000 ERC !!
So I will pay 99% of it off and pay £10 a month on £500 outstanding for the next 2.5 years to avoid the ERC :sunglasses:
RedmanDealer to MarkShopper
16 Aug 16#30
I agree, the rates on the regular 3/5 year deals are just a bit too high to consider at this point in time as paying around 1% more than a 2 year deal due to the fear of the rate going out of control. The way things are going I cannot see the base rate go above 1% for a few years and 2% would probably put 100,000s of homes at risk.
Obviously, if your debt is relatively small where paying the booking fee costs quite a lot then it might be better to fix for longer. If you have 60% LTV then you have enough security to go with whatever is the best deal and overpay the difference you would've paid for a longer term fix. I saw a 0.99% 2 year fix for HSBC so well worth considering.
dude_1234
16 Aug 161#10
If we fix our mortgage for 10 year.. and lets say after 5 year if we thinking to sell house.. can we sell house ? is there any penalty to sell house ? please any comments ?
Matholwch to dude_1234
16 Aug 162#12
You could move the mortgage product if you're locked into a product on your old house. As people generally trade up houses when remortgaging, you just stay with nationwide and move your mortgage product, if any shortfall, you get a 2nd new mortgage.
E.g. Move house to a £300,000 property, you have £150,000 mortgage on old house, and £80,000 capital, you would keep your old £150,000 mortgage and get a 2nd mortgage for £70,000 to meet the cost of £300,000 for the new house.
Alternatively, paying off your old mortgage with money from a new mortgage would trigger an early exit fee (% of mortgage). You'd want to calculate the difference in repayments vs exit fee (and potentially lifetime cost of mortgage).
madgeeza to dude_1234
16 Aug 16#13
you just need to check the product terms and conditions and make sure it is a portable mortgage. which will allow you to move the mortgage to your new house.
anthonynsinclair
16 Aug 16#11
I managed 2.46% fixed over 5 years with Nationwide in June.
davewave
16 Aug 16#14
Excellent...I was waiting for this news, I am likely to take the 10 year deal when my current deal ends.
![Fresh Breakfast Meat Box (Using code) @ Campbells Meat [Haggis / Lorne Sausage / Bacon / Black Pudding & More]](/images/topics/208684_1.jpg)
![[Xbox One] Q. u. b. e: Director's Cut on Deals with Gold](/images/topics/208716_1.jpg)
Opening post
Top comments
Not tempting enough to make me give it up just yet.
So I will pay 99% of it off and pay £10 a month on £500 outstanding for the next 2.5 years to avoid the ERC :sunglasses:
All comments (62)
Not tempting enough to make me give it up just yet.
http://www.nationwide.co.uk/support/support-articles/rates-fees-charges/bank-of-england-base-interest-rate-announcement
That 2 years has recently passed and thanks to mortgage overpayments (as you rightfully suggest) I signed up again for a 2 year deal at a cheaper rate which is working out to be £140 cheaper a month compared to when I got the house!
So personally I wouldn't go for this 10 year deal. I can understand the safety of it but it's just not for me.
So I will pay 99% of it off and pay £10 a month on £500 outstanding for the next 2.5 years to avoid the ERC :sunglasses:
Obviously, if your debt is relatively small where paying the booking fee costs quite a lot then it might be better to fix for longer. If you have 60% LTV then you have enough security to go with whatever is the best deal and overpay the difference you would've paid for a longer term fix. I saw a 0.99% 2 year fix for HSBC so well worth considering.
E.g. Move house to a £300,000 property, you have £150,000 mortgage on old house, and £80,000 capital, you would keep your old £150,000 mortgage and get a 2nd mortgage for £70,000 to meet the cost of £300,000 for the new house.
Alternatively, paying off your old mortgage with money from a new mortgage would trigger an early exit fee (% of mortgage). You'd want to calculate the difference in repayments vs exit fee (and potentially lifetime cost of mortgage).