Fixed rate mortgages falling towards 1%

mandm65

[FONT=&quot]HSBC will launch lowest ever t[FONT=&quot]w[FONT=&quot]o [/FONT][/FONT]year fixed-rate mortgage at [FONT=&quot]1[/FONT].[FONT=&quot]19[/FONT] per cent. The deal comes with a hefty £[FONT=&quot]14[/FONT]99 fee and is available to borrowers with a 40 per cent deposit from Monday.[/FONT]

Its obvious that this just might be headline grabbing exercise as the upfront high fee makes this mortgage pretty expensive.

[FONT=&quot]I guess above is a fair indication that HSBC[FONT=&quot] dont see [FONT=&quot]Bo[FONT=&quot]E raising [FONT=&quot]rate in the near future?

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amnblog

Fixed rates are priced based on the rates at which banks lend to one another, not the UK base rate.

I suspect this is a headline grabber as you suggest.

Who knows what will happen to base rates.

mandm65

HSBC has pushed five-year fixed rate mortgages to their lowest ever level, allowing homeowners to lock in at a rate of just 1.99 per cent. As before you will need a big 40 per cent deposit to get this deal, as well as a hefty £1,499 fee.

Back in Feb they[FONT=&quot] announced similar two year fixed-rate mortgage at 1.19 per cent so now [/FONT]five-year fixed, unsure if this is indicative statement from HSBC towards the base rates? Announcement close to the general election, does this mean that they don’t envisage base rates changes in the foreseeable future?
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amnblog

You can buy beer for less per litre than bottled water.

It does not mean that the rate you pay is the actual cost.