HSBC for Intermediaries has launched a selection of super-cheap two, three and five-year fixed rates available for mortgages up to £5 million.
Since the start of the coronavirus outbreak the cost of funding mortgages has dropped providing borrowers with the chance to lock into some incredibly cheap mortgages.
HSBC has lowered the cost of its mortgages and its most competitively priced rate is 1.14% fixed until 30 September 2022. The overall cost for comparison on this rate is 3.2% APRC.
There is not much of a premium to pay for the security of a longer-term fix with the 1.29% rate locked in until 30 September 2023 and the 1.39% fixed running until 30 September 2025. The APRC’s are 3.1% and 2.8% respectively.
Applicants will need a 40% deposit to qualify for these rates and they have £999 arrangement fees. Early repayment charges apply for the fixed-rate period and these mortgages are available on interest-only.
Aaron Strutt, product director at Trinity Financial, says: “Since the lockdown has eased and the property market has restarted the lenders have started to lower rates to attract borrowers again. Many of them still have huge lending targets to hit so they are keen for business.
“If you are planning to purchase a property or remortgage to a cheaper deal, it may be worth taking an interest-only mortgage to lower your monthly costs. HSBC provides interest-only to applications earning at least £100,000 and they allow borrowers to make overpayment to reduce the outstanding balance.”
Call Trinity Financial on 020 7016 0790 to secure a mortgage or send an online enquiry