Nationwide Launches a Game-Changer: A Closer Look at the New 3.64% 2-Year Fixed Mortgage

07 Nov, 2025
Nationwide Launches a Game-Changer: A Closer Look at the New 3.64% 2-Year Fixed Mortgage

The UK mortgage market has been on a rollercoaster for the last three years. After a period of historic lows, rates climbed sharply, leaving many homeowners and buyers facing significantly higher monthly payments. But this week, a potential turning point has arrived. The lowest 2 year fixed rate for 3 years has been launched!

Nationwide

The Headline Details

  • Lender: Nationwide Building Society

  • Product: 2-Year Fixed Rate

  • Rate: 3.64%

  • Loan-to-Value (LTV): 60% (Meaning you’ll need a 40% deposit or equity)

  • Fee: £1495 product fee

A Word of Caution: Is it Right for You?

While the 3.64% rate is eye-catching, it’s crucial to look at the whole picture.

  • The 60% LTV Hurdle: The biggest barrier is the 40% deposit requirement. This puts it out of reach for many first-time buyers or those with less equity.

  • The £1495 Fee: Don’t forget to factor in the product fee. Sometimes, a slightly higher interest rate with a free or lower fee can work out cheaper overall, depending on your mortgage size. Always calculate the total cost of the deal.

  • Compare the Market: While Nationwide is leading the charge, other lenders will be responding. It’s more important than ever to seek whole-of-market advice to ensure you’re getting the very best deal for your specific circumstances.

The Bottom Line

Nationwide’s new 3.64% mortgage is more than just a number—it’s a beacon of change for the UK housing market. It signifies a crucial shift in lender confidence and offers a tangible, attractive option for a significant portion of borrowers.

If you have a 40% deposit or equivalent equity, this deal is undoubtedly worth serious consideration as you plan your next move.

Advantage FS has access to the whole market. Spoiler alert… it doesn’t get any cheaper than this at the time of writing.

Tom Collier Profile Image
Tom Collier - Advising Director
DipFA CeMAP FSRE

Tom is a qualified financial planner with 15 years’ experience in the financial services industry, the majority of his career to date has been spent helping his clients with their mortgages.As our resident life insurance expert, he’s always been very enthusiastic about what is, let’s face it, a rather dull subject. Tom has assisted one of the UK’s top insurers in developing and launching a new life insurance product into the broker market. He’s also very interested in the later life mortgage market and works closely with several lenders in this space, helping them develop their offering.Tom is fully fledged petrolhead, you can usually find him tinkering with an engine somewhere in his spare time.

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