Nationwide will cut rates by up to 26 basis points across selected fixed-rate residential products, with its lowest offer starting at 3.78%.

The mutual says its 3.78% rate is available to new and existing home movers.

The new deals, which come to market tomorrow (22 August), include:

New customers moving home — reductions of up to 26bps across two-, three-, five- and 10-year fixes up to 95% loan to value, including:

• Five-year fixes at 75% LTV, with no fee, are 4.09% — down by 26bps
• Two-year fixes at 60% LTV, with a £999 fee, are 4.15% — down by 20bps

Existing customers moving home — reductions of up to 26bps across two-, three-, five- and 10-year fixes up to 95% LTV, including:

• Five-year fixes at 75% LTV, with no fee, are 4.09% — down by 26bps
• Two-year fixes at 60% LTV, with a £999 fee, are 4.15% — down by 20bps

First-time buyers — reductions of up to 25bps across two-, three-, five- and 10-year fixes up to 95% LTV, including:

• Five-year fixes at 90% LTV, with a £999 fee, are 4.64% — down by 16bps
• Two-year fixes at 60% LTV, with no fee, are 4.74% — down by 25bps

Remortgage — reductions of up to 25bps across two-, three-, five- and 10-year fixes up to 90% LTV, including:

• Five-year fixes at 60% LTV, with a £999 fee, are 3.99% — down by 21bps
• Three-year fixed rate at 75% LTV with no fee is 4.65% — down by 25bps

The lender adds it will cut selected two-, three- and five-year switcher rates up to 95% LTV by up to 25bps, with rates starting from 3.94%.

Its additional borrowing rates are being cut by up to 20bps on two-, three- and five-year fixes up to 90% LTV, with rates starting from 3.94%.

John Charcol mortgage technical manager Nicholas Mendes says: “Nationwide has truly pulled out all the stops with their latest rate cuts, making a bold statement in the mortgage market by slashing rates by up to 26bps.

“This move positions them as a strong competitor, particularly with their lowest rate now at an impressive 3.78%. Whether you’re a new or existing customer, FTB, or looking to remortgage, Nationwide offers competitive rates across the board.”

Trinity Financial product and communications director Aaron Strutt adds: “Nationwide has acted swiftly to undercut HSBC’s 3.81% five-year fix, showing how keen the lenders are to offer the cheapest deals.

“The good thing about Nationwide’s rates is that they are not just available to premier customers, although the minimum loan size is £300,000.”

SPF Private Clients chief executive Mark Harris says: “With markets expecting further rate cuts, we could see a 3.5% five-year fix by the time we get to Christmas, which will be a massive psychological boost for the market.”

Nationwide director of home Henry Jordan points out: “We’re making cuts across the majority of our fixed rate mortgage range to support all buyer types across the housing market.”