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.
Nottingham Building Society Reduces Mortgage and Stress Rates
Nottingham Building Society has announced mortgage rate cuts of up to 0.32% across its core residential, foreign national, retirement interest-only (RIO), and existing customer deals. The society has also reduced stress rates, following a softening in expectations for future interest rates.
After these changes, the starting rate for the core residential mortgage range is now 5.04%. These reductions come after recent cuts to selected buy-to-let (BTL) products, which saw rates lowered by up to 0.25%.
As part of a broader strategic programme introduced at the start of 2026, Nottingham Building Society has widened access to higher income multiples, accepted additional visa types for its foreign national range, and now recognises more income sources. These include agency and zero-hours income, drawdown pension, and a range of state benefits.
Research commissioned by Nottingham Building Society found that 32% of brokers believe easing affordability requirements would have the greatest positive impact on the mortgage market. The research also indicated that affordability pressures are becoming more embedded, with 28% of brokers reporting an increase in borrowers struggling with affordability checks at fixed rate expiry, as well as ongoing challenges for customers with complex or non-standard income profiles.
These changes may be relevant to letting agents and inventory clerks monitoring mortgage market trends, as adjustments to lending criteria and affordability assessments can influence landlord and tenant activity in the UK property sector.
Source: Mortgage Solutions