The mortgage rate war continues apace, with a low 3.94 per cent fixed rate deal launching.
HSBC is the latest lender to reduce its rates, with new remortgage deals tipping under four per cent .
The changes follow cuts from Halifax and Leeds Building Society yesterday.
HSBC is launching a five-year fixed rate at 3.94 per cent for those borrowing up to 60 per cent of the property’s value.
Borrowers can lock in for longer at sub-four per cent, with a 10-year fixed rate from 3.99 per cent.
There is also a two-year fixed rate available at 4.49 per cent for those borrowing up to 60 per cent loan to value.
David Hollingworth, associate director at broker L&C Mortgages, said: “These cuts are just the latest salvo in an increasingly fast-moving market. These rates are offering some of the lowest rates since the spike in rates last summer.
“Although borrowers coming to the end of their current fixed rate this year will still be looking at a rise in payments, these new lower rates will at least take some of the sting out of the inevitable rise.
“With large numbers of borrowers anxiously approaching the expiry of a fix taken during the ultra low rate period, this is a welcome move and hopefully a signal for more lenders to follow suit, improving options for those facing payment shock.”
Further cuts
The lender has also cut rates across its first-time buyer, home mover and existing borrower product switching mortgage ranges.
