Editor's note: This brief was summarised by The Property AI Newsroom from a report by Mortgage Solutions. Read the original article for full details.

Nationwide and Virgin Money Announce Mortgage Rate Reductions

Nationwide and Virgin Money have both announced reductions to their mortgage rates, affecting a range of fixed and tracker products. The changes apply to remortgage, purchase, and product transfer deals, with reductions varying across loan-to-value (LTV) bands and product types.

Nationwide has lowered fixed mortgage rates by up to 0.19% and selected tracker deals by up to 0.12%. The reductions cover two-, three-, five-, and ten-year fixed rate deals. For example, a two-year fixed remortgage with a £999 fee has been reduced from 5.14% to 4.99%. At 60% LTV, a five-year fixed remortgage with a £999 fee has been cut from 4.59% to 4.49%, and a two-year fix at 60% LTV with a £1,499 fee has been reduced by 0.07% to 4.37%.

Fee-free options have also seen reductions, such as a two-year fixed remortgage at 90% LTV now at 5.2%, down from 5.39%. For borrowers switching rates, the two-year fix at 60% LTV with a £999 fee is now 4.37%, and the fee-free two-year fix at 80% LTV is now 4.98%. The five-year fixed switcher deal at 60% LTV with a £999 fee has moved from 4.54% to 4.44%.

First-time buyers will also see lower rates, including a five-year fix at 60% LTV with a £999 fee now at 4.37%, and a two-year fix at 90% LTV with no fee now at 4.93%. At 95% LTV, the five-year fix with a £999 fee has been reduced to 5.08%.

For home movers, a five-year fix at 90% LTV with no fee is now 4.69%, and a three-year fix at 75% LTV with a £999 fee is now 4.49%. Other reductions include a two-year fix at 85% LTV with a £999 fee now at 4.45%, and a three-year fix at 95% LTV with a £999 fee now at 5.16%.

Virgin Money has also announced rate cuts of up to 0.16% on selected deals. Across its purchase range, two- and five-year fixed rates will be lowered by up to 0.1%, as will shared ownership rates. Selected trackers with a £999 fee will be reduced by up to 0.11%. For remortgage borrowers, two-year fixed rates will be reduced by up to 0.16%, five-year fixed rates by up to 0.1%, and ten-year fixed rates by up to 0.09%. Product transfer pricing, including selected two- and three-year fixed rates, will also be lowered by up to 0.16%.

These changes follow the announcement last month that Clydesdale Bank would stop new lending as part of Nationwide’s acquisition of Virgin Money and Clydesdale Bank earlier this year.