Mortgage lenders lower their fixed rates

by Aaron Strutt

Mar 18 2011

A host of lenders have made changes to their rates this week including: Northern Rock, Abbey and the Nationwide Building Society.  Fixes in particular have been lowered and in some cases they have come down by up to 0.4%.

The Nationwide have not featured in the best buy tables for a very long time and they now have the lowest five year fixed rate at 4.59%. They also offer a two year tracker rate at 2.49% and it allows borrowers to switch in to a fixed rate at any time. Both mortgages require a 30% deposit and have a £999 arrangement fee.

Northern Rock lowered some of their mortgages and the lowest two year fix that they offer is 3.47% for borrowers with a 30% deposit, or 3.58% for those with 25% to put down. Despite the threat of a base rate increase tracker rates are still popular and Northern Rock reduced their three year trackers by 0.61%. Two year trackers still offer the cheapest monthly repayments and they are available at 2.48% for house purchase and remortgage customers. A 30% deposit will be required to access this mortgage and the arrangement fee is £999.

March 18, 2011