The mutual says it will cut selected tracker rates by up to 40 basis points, and fixed-rate remortgage deals by up to 25bps, taking its lowest rate to 4.99%. It already offers sub-5% loans to first-time buyers and home movers.  

Highlights of its latest reductions are below.  

Remortgages — cuts of up to 40bps across two-, three- and five-year fixes and two-year tracker products up to 90% loan to value, including:    

• Two-year tracker rates at 80% LTV with no fee is 6.34%, reduced by 40bps  
• Three-year fixes at 60% LTV, with a £999 fee is 5.49%, reduced by 25bps  

New customers moving home — cuts of up to 39bps across two-year tracker products up to 95% LTV, including:    

• Two-year tracker rates at 60% LTV, with no fee is 5.99%, reduced by 30bps  
• Two-year tracker rates at 85% LTV, with no fee is 6.22%, reduced by 39bps  

FTB — reductions of up to 40bps across two-year tracker products up to 95% LTV, including:    

• Two-year tracker rates at 60% LTV, with no fee is now 6.14%, reduced by 40bps  
• Two-year tracker rates at 75% LTV, with no fee is now 6.19%, reduced by 40bps  

The lender adds that it will also bring down its two-year tracker rates for existing members moving home by up to 39bps, while tracker rates for additional borrowing are reducing by up to 30bps.  

Nationwide Building Society director of home Henry Jordan says: “Last week, we moved to offer sub-5% rates for FTBs and those looking to move to their next home.   

These latest changes mean borrowers remortgaging to Nationwide can also now access sub-5% rates.”  

Nationwide is among a range of lenders that have offered sub-5% deals over the last two weeks, which includes Santander, Yorkshire Building Society and West One Loans.

The cuts come after the Bank of England Monetary Policy Committee held the base rate at 5.25% last month, in a narrow 5-to-4 vote, following its previous rise on 3 August.    

John Charcol mortgage technical manager Nicholas Mendes adds: “Nationwide has made sweeping changes to their fee-free tracker products.  

“With the recent base rate hold and market sentiment that we have reached the peak, tracker products are a fantastic option for mortgage holders not looking to be tied into a deal in a period when fixed rates are slowly reducing.  

“Nationwide is already a market leader with their fixed-rate proposition, so this move strengthens their position for mortgage holders looking for a variable rate.   

“With the fee-free rates reducing this removes any barriers mortgage holders may be considering when opting between a tracker and a fixed.”