The Nationwide Building Society is to offer 10 year fixed rate mortgages from Wednesday 29 October.

New customers can fix their payments for the next 10 years from 3.49%, while existing customers can do the same from 3.39% as a result of the Society’s established 10 bps loyalty discount.

The £999 arrangement fee for new customers is cut to £499 for first time buyers, while fee-free options are also available.

Richard Napier, Nationwide’s director of mortgages and savings, said: “This competitive mortgage range is likely to be particularly attractive to those looking for certainty around their monthly payments over a prolonged period, whether they are first time buyers or those who want to lock in payments against potential future rate increases.

“At Nationwide, we’ve seen significant amounts of customers favouring longer term fixed rate mortgages this year. In September almost a quarter of new reservations were for our five year fixed rate products. Clearly prudent customers want to protect themselves against payment increases and so the introduction of a new ten year fixed rate deal is a logical addition to provide for this trend.”

Key highlights of the 10 year fixed rate deals are:

3.49% up to 70 per cent LTV with £999 fee
£0 fee option at 3.59%
First time buyers pay a reduced fee of £499
Remortgage borrowers receive a free standard valuation and the choice of either free standard legal fees or £250 cashback

3.94% up to 75 per cent LTV with £999 fee
£0 fee at 4.04%
First time buyers pay a reduced fee of £499
Remortgage borrowers receive a free standard valuation and the choice of either free standard legal fees or £250 cashback

4.54% up to 85 per cent LTV with £999 fee
£0 fee option at 4.64%
First time buyers pay a reduced fee of £499
Remortgage borrowers receive a free standard valuation and the choice of either free standard legal fees or £250 cashback

In addition, Nationwide is re-introducing a three year fixed rate at 90% LTV with a £999 product fee (£499 for first time buyers) at 4.14% for new borrowers, and 4.04% for existing borrowers.

Existing mortgage customers benefit from at least an additional 0.10 percentage points discount on all new customer rates.

Nationwide also continues to offer its Loyalty Rate Mortgages initiative, which compares the Society’s mortgage rates for existing customers with those of its top six high street competitors and guarantees to offer the lowest comparative rate.