Those seeking a new fixed mortgage will be happy to note that Nationwide, one of the UK’s largest lenders, announced this week that they will be dropping rates. They are one of the few banks that are offering affordable fixed rate mortgages right now, since many banks are preferring to keep rates high in an effort to offset their losses in the housing market. Although the government has asked for all banks to drop their fixed mortgage rates, few have complied. However, this news from Nationwide has sparked hope that other banks will soon follow their lead.”Recent reductions in money market swap rates mean we are able to reduce the rates on our two-year and five-year fixed-rate mortgages,” said Matthew Carter from Nationwide. “This is good news for home-buyers, re-mortgage customers and borrowers who are coming to the end of their existing deals.”Experts are forecasting that more consumers will be seeking out refinancing fixed mortgages from Nationwide in an attempt to avoid foreclosures.”Nationwide continues to offer a range of mortgages up to 95 per cent loan-to-value, including two recently launched deals which offer first-time buyers a £300 discount on the reservation fee,” he added.
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