The extension of the TMW range of products comes as a move to support the broker market, and Nationwide has also committed not to dual-price, in a further demonstration of intermediary support.
TMW is confident the new range of mortgages on offer to brokers offers innovative deals to home movers, remortgagors and first-time buyers.
The range will include free valuation on purchases, capped trackers, early repayment charge free trackers, a range of cash back options and a lifetime variable rate product.
Andy McQueen, director of mortgages at Nationwide and The Mortgage Works said: “We have developed this range of innovative mortgages, which are complementary to those on offer from Nationwide, to continue to help intermediary customers.
“In addition to the range of specialist mortgages already on offer from TMW, brokers now have access to an even greater range of exciting and compelling prime mortgages which will meet the needs of their customers.
“These new products further signal our commitment to offering greater choice and innovation to the intermediary channel which remains a vital and integral part of our mortgage proposition.”
Ray Boulger, senior technical director at John Charcol, said he was pleased to see TMW break into the prime market.
He said: “This is very good for the broker community, and it’s particularly good to see an intermediary lender getting back into prime. These sound like innovative products, including the capped tracker and different pricing based on different percentage fees.
“Looking at Nationwide cutting back its products in isolation, I would view that as bad for the market, but combined with the larger range on offer at TMW, on balance I’d say this is very positive because it’s increasing competition and consumer choice.”
Fahim Antoniades, director at London broker Mortgage Center IFA, agreed. He said: "This is fantastic news from TMW and Nationwide and shows a strong committment to the intermediary market. These rates are competitive and will put pressure on other prime lenders."
McQueen added: “We are launching a new, straightforward and easy to understand mortgage product range [at Nationwide], backed up by the same great service. Our core range is designed to meet a wide range of customers’ needs.
“We’re reducing rates by 0.29% on average across the core product range and simplifying our maximum loan limits.”
Product details
The Mortgage Works
Capped trackers
· Two year products starting from 2.89% (BBR + 2.39%) with rates capped 1% higher
· Up to 85% Loan to Value (LTV) on selected products, with 1% and 2% arrangement fee options
Fixed and tracker purchase products
· Choice of free valuation fees or up to £1000 cash back options
· Two, three and five year rates starting from 3.64%, up to 85% LTV and 0.5% fees
· Two year trackers, starting from 2.89% (BBR + 2.39%), up to 80% LTV with 0.5% fees
Fixed rate and tracker remortgage products
· Two year fixed with rates starting from 3.64%, up to 85% LTV with a choice of £500 cash back or free standard legal and standard valuation fees.
· Three and five year fixed rates available with no arrangement fee and £500 cash back.
· Two year tracker from 2.94% (BBR +2.44%), 2.00% (minimum £595) fee with a choice of £500 cash back or free standard legal and standard valuation fees
Other highlights to the range include
· Two year ERC free tracker from 2.99% (BBR +2.49%) up to 75% LTV
· Two, three, four, five and seven year fixed rate mortgages from 2.59%, 0% fee on seven year product
· Lifetime variable rate at 4.79% and available up to 85% LTV, 0% fee.
· Two and three year Stepped Trackers
Nationwide via brokers
· 2, 3 and 5 year fixed rates and 2 and 3 year tracker rate mortgages
2-year products with a choice of £896 or £0 product fees – all other products have a standard fee of £896
£500 product fee discount remains available for first time buyers on 3 and 5 year fixed rates and 3 year tracker products
The new range results in some significant reductions and competitive rates, for example:
For home movers:
2 year fixed rate available at 5.18% (80-85% LTV)
£99 booking fee (payable upfront and non-refundable)
£896 product fee
3 year fixed rate available at 5.18% (75-80% LTV)
£99 booking fee (payable upfront and non-refundable)
£896 product fee
2 year tracker rate available at 3.88% (75-80% LTV)
£99 booking fee (payable upfront and non-refundable)
£896 product fee.
For remortgage customers:
2 year fixed rate available at 5.18% (75-80% LTV)
£99 booking fee (payable upfront and non-refundable)
£0 product fee
2 year fixed rate available at 4.78% (75-80% LTV)
£99 booking fee (payable upfront and non-refundable)
£896 product fee
2 year tracker rate available at 4.08% (75-80% LTV)
£99 booking fee (payable upfront and non-refundable)
£896 product fee.
As well as launching a new range Nationwide has also simplified its lending limits and is moving to the following structure across the range, subject to product availability:
LTV Max Loan
95% £250,000
90% £500,000
85% £750,000
80% £1,000,000
