Nationwide mortgage rates

Locoblade

Cheers

I havent had time to dig out all the mortgage paperwork tonight but thinking back now when we took out the additional loan last year, I do remember the fix starting from the date we got the money, i.e. different to the main mortgage. At the time I thought that was a bonus as it was at under 5% fixed for 2 years so better than anything else on the market at that time, but maybe not!

Its not the end of the world though I don't think, the additional mortgage is less than £20k and I believe the Nationwide penalties for 2 year fixed is only 1.5% so if we can get a significantly better deal in October that isn't available from Nationwide, I assume we could always swallow the £2-300 penalty and pay that one off early, bundling the whole lot into one remortgage with someone else.

heather8

The woolwich fixed for 5 years at 5.29% with the 999 fee, is cheaper in the longer term than the Nationwide 5 year fixed for existing borrowers. Unless I have misunderstood.

At least for me it is. The overall cost is 6.4% with Nationwide compared to 6.2% with Woolwich, or am I missing something.

57,000 with nationwide based on 10 years to repay is 640.00 per month

58000 (999 fee added to loan) for 10 years is 634.00 per month.

The above example is based on the rate applying for the whole of the term of the loan.

I am currently with Nationwide on a fixed loan at 4.39%. Maybe they will offer some juicy carrot in view of the news from HSBC.

[Deleted User]

mountainlioness wrote: »

We're in the same boat - 3 mortgage products with Nationwide and 2 coming to an end this year. We've got to wait til June to reserve though as I think you can only reserve a max of 3 months ahead of your current deal ending... just hope it's still there!!

It depends who you speak to. Nationwide Direct told me that I could only reserve one month before but my local branch advisor arranged a new tracker deal for me five months before the previous one was due to end.
Regards,
CR.

MarkyMarkD

On interest only, you would be choosing between 5 years x £57,999 x 5.29% + £999 = £16,340, and 5 years x 5.83% x £57,000 = £16,615. On that basis, the Woolwich deal is far better because the payments are lower during the term and the fee isn't (effectively) paid until the end.

On a repayment basis, the true figures will be slightly different, but it still looks better. It's very marginal though - you need to include Nationwide's MEAF (£90 I think) and Woolwich's bigger one, and that will tend to cancel out the benefits.

I'm assuming that the Woolwich deal includes free legals and valuation fee refund, as otherwise it's definitely not worth switching.

All in all, the financial difference is very small so I don't think it's really worth switching.

Also bear in mind that the rate at the end of the 5 years will be higher with Woolwich than Nationwide, and that you'll have to go through all the credit scoring rigmarole with Woolwich but not with Nationwide.

I can't see anyone beating the HSBC deal. Your rate is too low to qualify for the HSBC deal in any case.

heather8

MarkyMarkD wrote: »

On interest only, you would be choosing between 5 years x £57,999 x 5.29% + £999 = £16,340, and 5 years x 5.83% x £57,000 = £16,615. On that basis, the Woolwich deal is far better because the payments are lower during the term and the fee isn't (effectively) paid until the end.

On a repayment basis, the true figures will be slightly different, but it still looks better. It's very marginal though - you need to include Nationwide's MEAF (£90 I think) and Woolwich's bigger one, and that will tend to cancel out the benefits.

I'm assuming that the Woolwich deal includes free legals and valuation fee refund, as otherwise it's definitely not worth switching.

All in all, the financial difference is very small so I don't think it's really worth switching.

Also bear in mind that the rate at the end of the 5 years will be higher with Woolwich than Nationwide, and that you'll have to go through all the credit scoring rigmarole with Woolwich but not with Nationwide.

I can't see anyone beating the HSBC deal. Your rate is too low to qualify for the HSBC deal in any case.

Thanks for that. What a MEAF please?

I'm going to give HSBC a ring on Monday as my husband banks with them, to see if they will give us any special deal. We are well below 75% LVT?. We are lucky to be in such a good position and someone out there should be snaping our hands off to give us a good deal. It's a shame the nationwide can't do better. I'm thinking of moving my savings with them, so if they keep having to borrow money from other banks, which they must be as they keep putting up their rates, then how safe are they. Not that I have a lot of savings. The Nothern Rock is looking as safe as houses now the Government own it!!

_Andy_

HSBC don't offer special deals just for banking with them. There is the 'rate matcher' offer which starts on the 14th but may involve large fees.

pingu

pingu wrote: »

5.63%fixed for 5 years for existing customers looks good with no fees

thats what i have gone for

all done received complete papers etc.. yesterday
new deal starts 01/05/2008:D

TighterThanTwoCoatsOfPain

never get your top up mortgage out of sync?? What bull! In Eutopia of course i agree 100%, but most people dont move house on the anniversary of a fixed rate so this is almost inevitable.

Its only now an issue because people cant compete with their existing provider. until recent months this wouldnt have been an issue at all.

Whats the alternative.. "sry Nationwide, thanks for the extra money, but i'll be needing a 1 year and 4 month fixed rate deal please".

Great in theory but about as inpractical as it comes..

MarkyMarkD

Firstly, the point was about a further advance, not a top-up loan.

Secondly, it's very possible to get the two parts of your mortgage (whether further advance or top-up) synchronised, simply by running one part of the mortgage on a no-ties mortgage product for a period until the other one's tie-in expires, and then switching (or remortgaging) them both at once.

I don't understand what you are saying regarding

it's only now an issue because people can't compete with their existing provider

This is an issue whether you are intending to switch, or remortgage, at the end of the tie-in precisely because you can't do either if you are tied in on the other half of your mortgage.

TighterThanTwoCoatsOfPain

sry wasnt being clear, top up being the extra mortgage needed for the move.. the further advance

of course you can get a no ties in, but its likely to have been less competative then another fixed.

Its only very recent i have bothered to syncronise mine, and for last 8 years it has cause zero issues... reason being it was a piece of cake to get a new fixed rate that was competative with your existing lender for which ever 'half' needed renewing, without payng any arrangement fees so the fact I renewed dfferent ones at different times makes no odds at all.

Lending now what it is, with hind sight you are of course 100% right, and i have done exactly what you say with the last 6 months (FD remortgage nearly complete) but just felt it came over almost smug and that it was his own fault....

Apologies as appreciate it wasnt like that at all ( and had i clicked that i was bumping a thread that had already ran its course i perhaps wouldnt have bothered)