Nationwide is reducing selected two-year, three-year and five-year fixed mortgage rates by as much as 0.16%, with the changes taking effect from 13 February.

The mutual is cutting rates for first-time buyers, home movers, remortgage customers and existing borrowers approaching the end of their current deal.

Across the range, reductions of up to 0.16% apply, taking Nationwide’s lowest available rate to 3.54% for new and existing customers looking to move home.

FIRST-TIME BUYERS

For first-time buyers, rates are being reduced by up to 0.16% on two-year, three-year and five-year fixed products up to 95% loan to value.

A three-year fixed rate at 90% loan to value with a £999 fee falls by 0.16% to 4.40%, while a two-year fixed at 90% loan to value with a £999 fee reduces by 0.14% to 4.10%.

At lower loan to value tiers, a two-year fixed at 60% loan to value with a £1,499 fee is cut by 0.15% to 3.67%.

Nationwide continues to offer £500 cashback to first-time buyers on completion. First-time buyers and home movers purchasing an energy-efficient property can also receive up to £500 cashback through its Green Reward.

HOME MOVERS

New and existing customers moving home see reductions of up to 0.15% across two-year, three-year and five-year fixed products up to 95% loan to value.

A two-year fixed at 60% loan to value with a £1,499 fee is reduced by 0.15% to 3.54%, marking the lender’s lowest rate. A five-year fixed at 85% loan to value with a £1,499 fee falls by 0.15% to 3.94%.

A two-year fixed at 85% loan to value with a £999 fee is cut by 0.09% to 3.78%.

Nationwide said the changes reflect its approach of offering existing customers moving home the same or lower rate than equivalent products available to new borrowers.

REMORTGAGE AND SWITCHER

For remortgage customers, rates are being reduced by up to 0.15% across two-year, three-year and five-year fixed products up to 90% loan to value.

A three-year fixed at 60% loan to value with a £999 fee falls by 0.15% to 3.80%, while a five-year fixed at 80% loan to value with a £999 fee reduces by 0.10% to 4.04%.

Existing Nationwide borrowers coming to the end of their current deal – so-called switchers – see reductions of up to 0.11% across equivalent products up to 90% loan to value.

A three-year fixed at 80% loan to value with a £999 fee is cut by 0.11% to 4.05%, and a five-year fixed at 80% loan to value with a £999 fee falls by 0.06% to 3.99%.

Nationwide said this continues its mortgage customer pricing pledge, under which switcher rates are the same or lower than remortgage equivalents.

Carlo Pileggi, head of mortgage products at Nationwide, said: “We review our mortgage rates on an ongoing basis to ensure they are sustainable and competitive for customers.

“These latest rate cuts are great news for first time buyers and home movers, who will see the biggest benefit.”