Should you get a mortgage from NatWest?

1968NatWest was founded.

Founded in 1968, National Westminster Bank (NatWest) is one of the UK’s largest mortgage lenders and is a subsidiary of The Royal Bank of Scotland Group.

In 2017, NatWest was awarded Best Banking App in the British Bank Awards.1 It's also the first UK bank to offer a paperless mortgage.2

NatWest 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 NatWest a good mortgage lender?

4,730Upheld complaints received by the financial regulator.

NatWest is part of The Royal Bank of Scotland Group, so we looked at the Group’s customer complaints record between July and December 2017. During this period the Financial Conduct Authority (the financial regulator) received 4,730 officially upheld complaints from Royal Bank of Scotland Group’s mortgage customers, including NatWest customers.1 That’s around 0.3% of customers and is slightly lower than the 0.4% average across major lenders.*

*This 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 NatWest mortgage application take?

16 daysAverage speed of Trussle customer’s mortgage application with NatWest.

Between July 2017 and July 2018, the average speed that NatWest processed a Trussle customer’s mortgage application was 16 days.* That’s faster than 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.

*This 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 NatWest?

4.85 xMaximum annual income.

NatWest could lend up to a maximum of 4.85 times income before tax, depending on your circumstances.

These details were last updated on 13th July 2018.

Current mortgage rates from NatWest

Lowest 2 year fixed rate


Initial rate:
1.53%
Annual Percentage Rate of Charge (APRC):
3.60%

Based on securing a mortgage of £136,200 over a 25 year term. Reverts to SVR after initial 28 month period, costing £702.20 per month for 272 months. Total amount payable is £207,577.32 including interest and fees. This deal was last updated on 17th July 2018.

Lowest 5 year fixed rate


Initial rate:
1.89%
Annual Percentage Rate of Charge (APRC):
3.20%

Based on securing a mortgage of £136,200 over a 25 year term. Reverts to SVR after initial 64 month period, costing £686.17 per month for 236 months. Total amount payable is £199,807.90 including interest and fees. This deal was last updated on 17th July 2018.

Current Standard Variable Rate


Standard Variable Rate (SVR):
3.99%

This rate was last updated on 17th July 2018.

Current mortgage deals from NatWest

First-time buyer

Lowest true cost deal


Lowest initial period true cost deal:
£22,154.84
Monthly payment:
£758.28
Upfront fee:
£1,273.00
Initial rate:
1.87%
Standard Variable Rate (SVR):
3.99%
Annual Percentage Rate of Charge (APRC):
4.33%

Reverts to SVR after initial 28 month period, costing £970.63 per month for 272 months. Total amount payable is £286,516.20 including interest and fees. This deal was last updated on 12th July 2018.

Remortgage

Lowest true cost deal


Lowest initial period true cost deal:
£16,474.84
Monthly payment:
£551.78
Upfront fee:
£1,025.00
Initial rate:
1.61%
Standard Variable Rate (SVR):
3.99%
Annual Percentage Rate of Charge (APRC):
3.60%

Reverts to SVR after initial 28 month period, costing £702.78 per month for 272 months. Total amount payable is £207,361.00 including interest and fees. This deal was last updated on 16th July 2018.

Frequently asked questions about NatWest mortgages

This information was last updated on 16th July 2018.

Does NatWest have overpayment restrictions?


Yes, depending on the mortgage rate you’re on.

Anyone on a tracker or fixed-rate mortgage will be able to pay off 10% of their outstanding balance in any given year without incurring an Early Repayment Charge. Anyone on a Standard Variable Rate (SVR) mortgage can overpay as much as they like.

If you’re considering a NatWest mortgage, check the terms to see what your limit is.

How soon after completing will NatWest expect my first payment?


NatWest doesn’t have a standard first payment date. Instead, they’ll include the key information about your first payment (including when it needs to be paid, and how much it will be) in your welcome letter. You can request to change your first payment date by calling the NatWest team.

How long will my mortgage offer be valid for?


This varies depending on your circumstances. If you’re a first-time buyer or if you’re buying a new-build home, NatWest will require you to complete your property purchase within six months. If you’re remortgaging or moving to a home that isn’t a new-build, the offer will be valid for three months.

Will NatWest release funds on the completion date?


Yes. Once you’ve confirmed a completion date with your solicitor and the seller of your chosen property, it’s up to your solicitor to inform NatWest.

NatWest will then arrange to release the funds on that date, meaning that there shouldn’t be any delays moving in.

Will I able to manage my mortgage online?


Yes, once you’ve registered for internet banking and logged in. After that’s done, you’ll be able to:

  • manage and plan overpayments
  • amend your payment details
  • manage your direct debit
  • switch rates, if there’s one available to you
  • view your balance
  • see your monthly payments

What will happen when my NatWest mortgage deal ends?


You’ll need to switch over to a new mortgage. NatWest will write to you and let you know what your options are.

You might be able to get a new fixed rate deal with more favourable terms than drifting onto NatWest’s Standard Variable Rate (SVR).

Does NatWest require that I get life insurance, buildings insurance, or contents insurance?


NatWest only requires buildings insurance, which you’ll need for the full term of your mortgage. Buildings insurance covers repairs to your property’s structure, as well as any fixtures and fittings. Many mortgage providers require this level of protection.

Whether you choose to get life insurance or contents insurance as well is up to you.

Did NatWest sell PPI?


Yes they did, but concerns over its mis-selling have led to major changes in the way Payment Protection Insurance, or PPI, can be sold. You’ll now not receive PPI unless you specifically agree to it.

PPI is designed to cover loan repayments if you’re unable to make them because of unemployment, accident, or sickness. It also applies to credit cards and other forms of loan.