HSBC has confirmed interest rate cuts across its home loan and buy-to-let (BTL) mortgage products from 3 December.
Lenders are lowering interest rates on two-, three- and five-year fixed products across multiple loan-to-value (LTV) tiers. These include the popular Fee Saver and Standard products for switching existing residential customers and additional borrowing, as well as customized products for energy efficient homes (A and B EPC rated properties). Masu. 
Borrowers in the BTL and international markets are also benefiting, with products such as the 2-year fixed fee saver at 60% LTV and the 3-year fixed fee saver for overseas residential customers at 70% and 75% LTV reduced in price. .
Commenting on the latest rate changes, Nick Mendes, Mortgage Technical Manager at John Charcol, said: “Following Barclays' recent moves, HSBC's adjustment reflects market stability, with swap rates stabilizing and remaining low in recent days.First-time buyers, movers and mortgages , and even energy-efficient properties, are a positive step for those looking for a better deal.”
He added: “For borrowers, this is an encouraging development from December, whether it’s locking in on a fixed contract for a new home, taking out additional borrowing or securing a better interest rate on an energy efficient property. However, these price cuts occur at the right time.However, it is still too early to call this a “price war'' as not all financial institutions have moved at the same time. The stabilization of swaps has only given lenders like HSBC more room to adjust.
Generation H also announced rate reductions effective December 2 at 5 p.m.
Highlights include 95% LTV rate reduction of 15-25 bps. 90% LTV rate decreased by 10-15 bps and 85% LTV rate decreased by 10-15 bps
Lenders are focusing on lowering high LTV rates to support first-time buyers and others who are likely to have smaller deposits.
Pete Docker, Chief Commercial Officer at Generation H, commented on the reduction: “There is no better way to start the holiday season than with a range of interest rate reductions. This is our gift to our brokers and their customers.” We are pleased to see other financial institutions also moving in a positive direction. Masu. ”
