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04 January 2013
From 4 January 2013, Nationwide Building Society is cutting the rates on its NewBuy and MI New Home mortgage range by up to 0.45 per cent and introducing a new two-year deal - all with no product fees.
The Society currently offers borrowers, who buy a new-build house or flat in England or Scotland with a builder that is registered under these schemes, the option of a three or five-year fixed rate mortgage at 95 per cent loan to value. From 4 January 2013, the Society is adding a two-year deal to the range. In addition, all NewBuy and MI New Home mortgages will no longer include a £900 product fee, while the maximum loan increases from £250,000 to £350,000. A non-refundable £99 booking fee is payable upfront.
New rates include:
Two-year fixed rates, no product fee
Three-year fixed rates, no product fee
Five-year fixed rates, no product fee
The NewBuy products are only currently available via intermediaries.
Andrew Baddeley-Chappell, head of mortgage strategy and policy at Nationwide, said: "These cuts are further evidence of Nationwide's commitment to support the NewBuy and MI New Home schemes. Nationwide is once again demonstrating that it is open for business.
"These schemes aim to address the growing gap in housing provision in Britain by helping to increase access to lower deposit mortgages within the new-build sector. They help keep Britain's property market moving and it is another example of how Nationwide is 'On Your Side'."
Nationwide Building Society is the world's largest building society and a top-three provider of mortgages and savings in the UK. It is also a major provider of current accounts, credit cards and personal loans. With around 16 million members, Nationwide has a relationship with almost a quarter of the UK population.
Since the credit crunch began in 2007, Nationwide has remained profitable against a very difficult economic environment. In the year 2010/11 Nationwide made a strong underlying profit of £276 million - up 30% from the previous year. Its strong financial performance and prudent business model means that Nationwide is included in Global Finance magazine's Top 50 Safest Banks in the World.