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Nationwide announce their first rate cuts of 2024

Journalist: Justin Moy, Contributing Editor

ended 23. January 2024

Nationwide has finally bitten the bullet and taken the opportunity to cut most of their deals with today's announcement, by as much as 0.81% on some products. An additional range of products with better rates and higher fees has also been introduced by the lender. Newspage asked brokers for their thoughts on this wave of fixed rate improvements across their range, below.

 

18 responses from the Newspage community

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Michelle Lawson
Director at Lawson Financial
On a day Santander announced a rate rise comes the much needed and anticipated rate cut news from Nationwide. Much better rates and ones that pipeline borrowers can also benefit from. Welcome to the field Nationwide.
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Justin Moy
Managing Director at EHF Mortgages
They may have been a little late to the fire sale, but Nationwide have jumped straight to the top of best buy tables for many deals, at both ends of the deposit sizes. There is also an additional range of deals with a higher fee, ideal for those with a minimum of £300k to borrow that are very attractive. It’s a very interesting move by Nationwide given other lenders have just announced increases. It could be a quick change if their popularity uses up funds over the coming days.
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Katy Eatenton
Mortgage & Protection Specialist at Eatenton Finance
We’ve been waiting for this announcement and they haven’t disappointed. Great rate reductions from Nationwide and this will put them in pole position on the lending starting grid. It also squashes any doubt in the market after Santander announced increases today.
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Mike Staton
Director at Staton Mortgages
Nationwide have played a blinder here. They have waited for the market to dip their toe in the water and just as we see some lenders start to apply some caution, Nationwide put themselves right in the mix to cement the fact that this market is definitely improving despite what unqualified nay-sayers are preaching.This is definitely a kick in the teeth to all the self proclaimed social media property gurus who have been shouting about the housing market crumbling. Nationwide's reduction comes off the back of a fantastic start to the new year and now we have seen the last major lender join the table. The feast is about to begin.
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Elliott Benson
Owner at Sett Mortgages
This bodes well for the rest of the year and should continue to inject confidence into the mortgage market for new buyers and potentially new movers, too. On the same day that another major lender announces slight increases, Nationwide has stepped into the ring.
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Jake Stott
Founder at Knox Mortgages
As a seasoned mortgage adviser in the UK's ever-twisting mortgage market, I can say with a cheeky grin that Nationwide's rate cut is the best thing since sliced bread for the housing market. It's not just a drop in the ocean, it's the tide turning, ushering in a wave of affordability that's music to the ears of homebuyers and sellers alike. With some uncertainty last week with a rise in inflation, Nationwide's decision to reduce rates is exactly what the market needed. We generally see a domino effect as other lenders follow suit, turning what was a crescendo of high rates into a harmonious melody of more accessible borrowing. It’s a brilliant time for buyers. The market's been craving this kind of good news.
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Gary Bush
Financial Adviser at MortgageShop.com
Great to see Nationwide catching up with the competition and lowering their rates by up to 0.81%. That's eye-watering and leading the High Street at a time when other lenders are marginally increasing their fixed rates. The timing for competitor lenders, who have been seen dropping twice a week in some cases, is bad - which makes Nationwide Building Society win the strategy award for January.
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Riz Malik
Independent Financial Adviser at R3 Wealth
The last guest has finally joined the party and we are glad they have. However don’t expect these rates to be around for long given some of their competitors are already pricing upwards.
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Stephen Perkins
Managing Director at Yellow Brick Mortgages
Nationwide turn up late to the party and then look to steal the show with what sound to be drastic rate cuts the same day some of the competitors are raising their rates. Such reductions should turn heads and put them out front in the race for new business.
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Darryl Dhoffer
Founder at The Mortgage Geezer
The old saying, save the best until last. Nationwide finally join the Big 6 Lender table with rate reductions, and accross the board. A quick check shows they now lead the march on all rates from 60% to 95% LTV. While SWAP rates are having a wobble, it would appear Nationwide have taken off the stabilisers with these decreases. Let's hope they hold these rates for as long as they can.
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Ben Perks
Managing Director at Orchard Financial Advisers
Usually, I’m nothing but delighted to see a rate drop email pop up.
But the timing of this is both fantastic and appalling in equal measure.
Off the back of Santander's announcement detailing their increasing rates, to see these chunky cuts is welcome news and borrowers will feel reassured. Nationwide have been noticeably absent during the rate war so far and they have just come storming in like a knight in shining armour.
But the existing Nationwide customers that had to commit to their product switches by the 20th January will feel incredibly hard done to, and rightly so. We have been closely monitoring rates and waiting for this drop and it just didn’t come in time to help them. Too little too late for the existing customers who will be bitterly dissappointed and feel let down.
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Ken James
Director at Contractor Mortgage Services
Nationwide have found their own drum to bang, going against the news of rate increases from Santander they have made an announcement that makes you turn around and look. There really is no telling what the lenders will do. For brokers and customers alike every twist and turn just makes you more dizzy. Let's hope that others follow suit and that the lower rate offerings remain around for as long as possible.
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Craig Fish
Director at Lodestone Mortgages
Nationwide have left it a bit late to join the party, considering that some lenders have already announced rate increases. These rates are certainly head turners and should grab the attention that they surely need and desire after leaving their rate cuts so late, but will they be around for long is the question on every brokers lips. I doubt it.
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Elliott Culley
Director at Switch Mortgage Finance
This is perfect timing from Nationwide, whilst other big 6 lenders are looking at increasing. Nationwide will now get a great PR boost from doing the exact opposite and providing some of the best rates on the market. It shows lenders are still in the market for cutting rates for borrowers. Long may it continue.
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Anil Mistry
Director and Mortgage Broker at RNR Mortgage Solutions
It's commendable to witness Nationwide making the bold move to cut its interest rates. This significant step not only benefits borrowers but also showcases Nationwide's responsiveness to market demands and consumer needs. By adjusting their rates, along with a few other lenders, they're setting a positive precedent in the mortgage sector, prioritising the financial well-being of their customers.
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Hannah Bashford
Director at Model Financial Solutions
Finally Nationwide have joined the party. The reductions are very welcome and will be close, if not top of the mortgage sourcing with a few rates sub-4%. It’s great to see a mainstream lender pricing competitively when we’re seeing some instability in the market again and some lenders putting up their rates slightly.
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Charles Breen
Founder at C B
Nationwide come in from left field and blow everyone else out of the water. They timed this one to perfection, just as other high street lenders are increasing thier rates. They have blown the doors off and will now be in prime position to steal massive market share from their competitors.
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Rhys Schofield
Brand Director at Peak Mortgages and Protection
Consciensious objectors in the full blown mortgage rate war that is raging, Nationwide have finally entered and with big cuts. This is great news for consumers who will hopefully see more money left in their account each month after their direct debits have gone out.