This week’s best residential mortgage rates

There’s more movement among the top-ranked high-street lenders and mutuals offering borrowers this week’s best residential mortgage deals.

After the base rate stayed put at 5.25%, some brokers boldly predicted there would be a two-year fix priced at under 5% the first time.

Those experts were proved right this week as Nationwide slashed it’s rates for home movers to 4.99% – a 0.25% drop.

As well as the mutual’s landmark deal, Coventry Building Society and Virgin Money are also offering tempting rates across remortgage, first-time buyer and home mover products.

Here we take a look at the top offers on the market, with data from Moneyfacts.

The best remortgage rates

Coventry Building Society offers 5.17% across two deals with a maximum of 65% loan to value (LTV) and £999 in arrangement fees. One deal comes with free valuation and legal fees, the other has £350 cashback as well as a free valuation.

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The next best:

1. NatWest: Two-year fix at 5.17% up to 60% LTV with £1,495 in fees. Incentives include free legal fees and valuation.
2. The Co-operative Bank and Co-op bank for Intermediaries: Both offer 5.09% up to 60% LTV, plus free valuation, free legal fees and £250 cashback as incentives, with £999 arrangement fees. Difference between the two is that one can be opened directly and the other, as the name suggests, requires a broker.
3. Yorkshire Building Society: Best rate offered at 4.84% on five year fixes up to 75% LTV. Incentives include a free valuation and legal fees with a £1,495 product fee.

The best home mover rates

Nationwide announced they are the first major lender to offer a two-year fix under 5%, reducing its rate by 0.25% to stand at 4.99% up to 60% LTV. The mutual also added a five-year fix for 4.64% at 60% LTV and a £999 fee. 

The other deals:

1. Barclays Mortgage: A two-year fixed deal at 5.10% for a maximum 60% LTV and has a £899 product fee included but offers a free valuation incentive.
2. Yorkshire Building Society: A Moneyfacts’ ‘best buy’ for its three-year fixed rate at 5.03% up to 75% LTV. Comes with free valuation but has a £1,495 product fee.
3. Virgin Money: Boasts the lowest five-year rate, priced at 4.60% up to 65% LTV with a £1.295 fee and free valuation.

The best first-time buyer rates

For those jumping on the property ladder, Yorkshire Building Society offers the lowest two-year fixed rate for first time buyers. The deal is priced at 5.54% with a 10% deposit and product fees come to £1,495.

The best of the rest:

1. NatWest: As well as matching Yorkshire’s 5.54%, the lender is offering the lowest five-year rate too. Deal is priced at 5.03% and booking fees cost £1,495 with a free valuation in terms of incentives.
2. Yorkshire Building Society: Offers lowest rate on a two-year fixed deal at 5.89%. There is a product fee of £1,495 and a free valuation.
3. Skipton Building Society: Offering a rate of 5.59% for a five-year fixed term with a 5% deposit.