Homeowners will benefit from the lowest mortgage rate available. 0.94 percentage point
Homebuyers are expected to benefit from an impending mortgage pricing war after HSBC slashed its two-year fixed rate to 0.94 percent, the lowest it has ever been.
Those wishing to remortgage, buy their first house, or move up the property ladder can acquire a 60 percent loan to value (LTV) package for a £999 charge. HSBC announced that it has reduced rates by 0.3 percent on more than 40 different programs, covering all fixed rate terms and LTVs.
Rival lenders, according to mortgage brokers, will soon follow suit.
“Banks look to be starting a rate war following the end of the Stamp Duty Madness,” said Doug Miller of Lansdown Financial Services.
“The ongoing war for low loan-to-value mortgages continues with this latest salvo,” said Rob Gill of broker Altura Mortgage Finance.
“This deal is about generating headlines,” said Imran Hussain of Harmony Financial Services.