HSBC’s mortgage rates are set to increase from tomorrow, impacting various customer segments.
- The rate changes apply to both residential and buy-to-let mortgage products.
- Adjustments affect existing customer renewals, first-time buyers, home movers, and energy-efficient properties.
- Changes are aligned with market trends and are impacted by rising swap rates.
- Prompts for immediate customer action to secure current rates before the hike.
Effective from tomorrow, HSBC will implement rate increases across its residential and buy-to-let mortgage offerings. The adjustments are designed to address current market conditions and are influenced by rising swap rates, a critical factor in mortgage pricing.
The changes span a wide range of products, impacting both existing customers wishing to switch or borrow more and new borrowers. Specifically, 2-, 3-, 5-, and 10-year fixed Fee Saver and Standard products will see rate hikes at various loan-to-value (LTV) levels. These levels range from 60% to 95%.
Existing residential clients planning to switch rates or increase borrowing will experience rate increases across numerous fixed-rate mortgage options. The increments will affect LTV brackets from 60% to 95%, including HSBC’s Premier Exclusive rate, which will encounter modifications for LTVs ranging from 60% to 90%.
The rate hikes are particularly pertinent for first-time buyers and home movers. For these groups, 2- and 5-year fixed options in both Fee Saver and Standard categories are subject to rate increases, with LTV levels spanning 60% to 95%. High-value mortgages defined by LTVs of 60%, 70%, and 75% are also included.
Furthermore, customers interested in energy-efficient properties rated A and B for their Energy Performance Certificate (EPC) should expect increased rates on 2- and 5-year fixed products across various LTVs. This change marks an important step as the industry adapts to evolving regulatory and market demands.
Residential remortgage customers will not be exempt from these adjustments. Rate increases apply to 2- and 5-year fixed options, affecting Fee Saver, Standard, and high-value mortgage products. These increases impact LTV brackets between 60% and 90%. Remortgage products featuring cashback incentives will also experience rate adjustments.
HSBC’s buy-to-let customers face similar rate changes, affecting options for both switching and additional borrowing. This includes 2- and 5-year fixed rates at 60%, 65%, and 75% LTVs. New buy-to-let purchase products will also observe rate hikes, featuring fixed fees of £1,999 and £3,999 on some Standard products.
Lastly, international customers with HSBC residential mortgages should prepare for rate rises across numerous fixed Fee Saver and Standard offerings, with LTV bands of 60%, 70%, and 75%. Their buy-to-let counterparts will encounter similar changes across LTV brackets of 60% to 75%. HSBC has advised customers to submit applications by midnight tonight to lock in current rates before changes take effect.
The upcoming changes by HSBC illustrate the dynamic nature of the housing finance market and the need for proactive customer engagement.
