Nationwide has reduced its maximum loan size for new customers to £500,000, half the previous limit. It has also raised its minimum deposit from 5% to 10% on all but two of its mortgage deals. These measures will not affect existing customers but are being introduced as what Nationwide describe as managing its business “in a prudent and sustainable way”. In contrast the Royal Bank of Scotland has recently announced a reduction of 0.3% on its fixed rate mortgage deals at a time when most other banks are putting their rates up. It’s hard to know what’s happening with the property market at the moment but one thing is for sure, if you are looking to buy having a big wad of cash for a deposit will certainly help, otherwise you might struggle to find mortgage.
