A mortgage rate of less than one per cent will heat up the home loans market today.
Nationwide Building Society is launching the 0.99 per cent deal for those able to pay a hefty 40 per cent deposit and a £1,499 fee. Nationwide is also cutting rates of selected mortgages by up to 0.20 per cent, including some for first time buyers.
Moneyfacts.co.uk said signs of competition are starting to show. The website's Racheal Springall called it a 'change for the better'.