HSBC has just announced it is cutting rates from tomorrow, 15 November. Brokers welcomed the move, saying the lender means business and are bracing themselves for a busy end to the year as activity levels pick up.
According to Ranald Mitchell, director at Norwich-based Charwin Private Clients: “With inflation coming down, it is only a matter of time before someone takes the plunge with a significant rate announcement, and HSBC is a contender. Today, they have announced widespread rate cuts across their range so all eyes are on the grand unveil tomorrow. Let’s hope they mean business.”
Stephen Perkins, managing director at Norwich-based Yellow Brick Mortgages, was also upbeat: “Further rate reductions from HSBC are greatly appreciated, especially those in the higher loan-to-value brackets. This should kick-start another round of rate reductions, some before and some after the expected good news on inflation due this week. With each day that passes, there are more reasons to be positive in the mortgage market.”
Craig Fish, director at London-based broker, Lodestone Mortgages & Protection, also welcomed the news: “While we don’t yet know the specifics, these rate cuts from HSBC show they are out to do business. Let’s hope there is some focus on those who wish to remortgage and on those borrowing at higher loan-to-values. It does look like the rate war is on, and with the high expectation of positive inflation data tomorrow, this could be a common theme in the lead-up to Christmas. It could get busy towards the end of the year as borrowers increasingly come out of their shells, enticed by better mortgage rates. Brokers should start bracing themselves for a potentially busy month.”
Elliott Culley, director at Switch Mortgage Finance, added: “It’s no surprise to see a lender of HSBC’s size and stature continuing to reduce their rates. Swap rates are continuing to reduce as more positive data is being released on inflation cooling and base rate stability. Expect others to follow.”
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