Should you get a mortgage from Nationwide Building Society?

1 in 4Have a relationship with them.

Nationwide Building Society is one of the UK’s largest mortgage lenders, responsible for 12.3% of all mortgage lending in 2017 - that’s around £32 billion.1

The financial institution began life in 1846, trading as The Provident Union Building Society. Its name was changed to Nationwide in 1991 after numerous mergers. Today, Nationwide claim almost a quarter of the UK population have a relationship with them.2

Nationwide’s mortgage deals are available to a wide range of people, but they generally won’t lend to you if you have particularly bad credit.

See how they compare to other mortgage lenders:

Is Nationwide a good mortgage lender?

4,838Upheld complaints received by the financial regulator.

We looked at Nationwide’s customer complaints record between July and December 2017.3 During this period the Financial Conduct Authority (the financial regulator) received 4,838 officially upheld complaints from Nationwide’s mortgage customers. That’s around 0.3% of customers and is slightly lower than the 0.4% average across major lenders.*

*The number of customers served by this lender isn’t publicly available so we’ve estimated this figure based on market share and average house price in the UK.

How long does a Nationwide mortgage application take?

18 daysAverage speed of Trussle customer’s mortgage application with Nationwide.

Between July 2017 and July 2018, the average speed that Nationwide processed a Trussle customer’s mortgage application was 18 days.* That’s equal to the 18-day average across all the major lenders we’ve submitted applications to.

Bear in mind that the speed of application will vary depending on your own personal circumstances and the lender’s present day-to-day performance. In some cases, applications can be approved by the lender within 24 hours, while some can take weeks or even months. This can also be impacted by the quality of application submitted, which is why you may want to consider using a mortgage broker. The average quoted speed therefore may not reflect your own experience.

*The number of customers served by this lender isn’t publicly available so we’ve estimated this figure based on market share and average house price in the UK.

How much could I afford to borrow from Nationwide?

4.75 xMaximum annual income.

Nationwide could lend up to a maximum of 4.75 times income before tax, depending on your circumstances.

These details were last updated on 13th July 2018.

Current mortgage rates from Nationwide

Lowest 2 year fixed rate


Initial rate:
1.74%
Annual Percentage Rate of Charge (APRC):
3.90%

Based on securing a mortgage of £181,600 over a 25 year term. Reverts to SVR after initial 24 month period, costing £964.19 per month for 276 months. Total amount payable is £285,301.75 including interest and fees. This deal was last updated on 4th December 2018.

Lowest 5 year fixed rate


Initial rate:
2.14%
Annual Percentage Rate of Charge (APRC):
3.50%

Based on securing a mortgage of £181,600 over a 25 year term. Reverts to SVR after initial 60 month period, costing £944.16 per month for 240 months. Total amount payable is £274,786.75 including interest and fees. This deal was last updated on 4th December 2018.

Current Standard Variable Rate


Standard Variable Rate (SVR):
4.24%

This rate was last updated on 4th December 2018.

Current mortgage deals from Nationwide

First-time buyer


Lowest initial period true cost deal:
£18,466.59
Monthly payment:
£782.16
Upfront fee:
£194.75
Initial rate:
2.14%
Standard Variable Rate (SVR):
4.24%
Annual Percentage Rate of Charge (APRC):
3.90%

Reverts to SVR after initial 24 month period, costing £967.45 per month for 276 months. Total amount payable is £286,047.79 including interest and fees. This deal was last updated on 4th December 2018.

Remortgage


Lowest initial period true cost deal:
£18,466.59
Monthly payment:
£782.16
Upfront fee:
£194.75
Initial rate:
2.14%
Standard Variable Rate (SVR):
4.24%
Annual Percentage Rate of Charge (APRC):
3.90%

Reverts to SVR after initial 24 month period, costing £967.45 per month for 276 months. Total amount payable is £286,047.79 including interest and fees. This deal was last updated on 4th December 2018.

Frequently asked questions about Nationwide mortgages

This information was last updated on 16th July 2018.

How much can I overpay on my Nationwide mortgage?


Making overpayments on your mortgage can help you reduce your outstanding balance and save on interest.

For mortgage deals secured since 29th May 2013, Nationwide allows an overpayment allowance of 10% per year of the original loan amount.

Tracker mortgages secured since 2nd May 2014 allow an unlimited overpayment allowance.

Your repayment could be one lump sum or smaller installments over time, depending on which suits your situation.

Keep in mind that early repayment on some mortgages with Nationwide may incur an Early Repayment Charge. So you’ll want to check your original Key Facts Illustration (KFI) for the specific terms of your deal.

When will my first mortgage payment be with Nationwide?


This varies, but they’ll let you know a week or so after you’ve moved in. You’ll receive a letter with all the details, including how much the first payment will be and when it’ll be taken from your account.

Your first payment reflects your normal monthly payment, but you’ll also likely need to cover interest for the days between your move-in date and the end of the month. This means, generally speaking, your first payment will be marginally higher than your normal amount.

How long does a mortgage offer last with Nationwide?


Once your valuation is done, you generally have up to six months to complete your purchase.

Buying a home can be difficult, and you might experience any number of delays. It’s important to know how long your offer will be valid for so you know how quickly you need to finish the process. You may be able to extend an offer in some cases, but this will vary on a case-to-case basis.

How long does it take Nationwide to release mortgage funds?


Your seller will receive the money on completion day, meaning you’ll be able to move into your new home straight away.

Your completion day will depend on the agreement made between the seller’s solicitor and your own. They’ll do all the legal work and draw up the contracts to be signed by both parties, and you’ll pay your deposit for the property. You’ll then settle on a day to complete the exchange.

Once this completion day is agreed, Nationwide will notify you to confirm they’ve been informed. This may be a few days beforehand, as a way of making sure the money is ready.

Can I view my Nationwide mortgage online?


You can. Just log in to Nationwide’s Internet Bank, and you’ll be able to view a variety of account details, including:

  • monthly payments
  • statements and redemption date
  • interest added and interest rate history

You’ll also be able to make overpayments if you’re looking to reduce your outstanding balance.

When you’re using the Nationwide Internet Bank for the first time, make sure you have your mortgage account number to hand, as you’ll need it to register.

What happens when my fixed rate mortgage with Nationwide ends?


At the end of your fixed deal, you’ll generally move onto a Standard Variable Rate (SVR) mortgage.

These rates can change with the mortgage market. This means your monthly repayments are likely to change, but they may also prove more flexible than a fixed rate. Your first course of action should be to check what you’re expected to pay. You can then make a decision as to whether you want to stay put or look elsewhere.

Do you need life insurance for a Nationwide mortgage?


No, but you may be expected to have buildings insurance. Buildings insurance is a type of home insurance, and it protects any permanent fixtures, including kitchens, bathrooms, and the structure itself.

The other type of home insurance is contents insurance, which covers all your personal belongings. There’s no requirement for contents insurance to get a mortgage with Nationwide, though they do advise having it for your own peace of mind. You may also be able to get a policy that covers both types.

Did Nationwide mortgages include PPI?


Many of them did. There has been a lot of concern about the mis-selling of PPI, and Nationwide have put provisions in place for those with complaints.

Payment Protection Insurance, or PPI, applies to loans, mortgages, and credit cards, and protects the policyholder in case of accident, sickness, or unemployment. As a new mortgage applicant, however, there’s now more transparency in the application process to ensure you won’t be sold PPI unless you specifically request it.