HSBC announces mortgage rate changes "in what should prove to be a very active week"

While lots of lenders have been cutting rates recently, HSBC’s move to raise theirs could be a way to manage business ahead of the quieter Christmas period. It might also just be a sign of the ongoing uncertainty around mortgage rates. Either way, it’s a reminder for borrowers to keep an eye on the market and get advice to make sure they’re getting the best deal.

HSBC are the first lender to tinker with their rates on Monday in what should prove to be a very active week as banks actively compete for applications to kickstart their targets for next year. HSBC are cherry-picking the borrowers they want, as they decrease rates for those with a bigger deposit and increase rates at higher loan-to-values. Typical HSBC that they don't actually release their rates until Tuesday so borrowers are left in limbo today.

It's great to see the week kick off with some rate movements, but it’s not all sweetness and light from HSBC, as they only show favour for those who are new to bank with lower loan to values. A little bit bah humbug for the time of year.

It's a busy few days on the data front with inflation, the Bank of England interest rate decision and retail sales, so there are lots of variables in play. By the end of the week the mortgage market could look a fair bit different to how it was at the beginning.

This is nothing more than HSBC having their fill of the market over the last few. HSBC are well known to focus on "vanilla white" so Decreasing high LTV rates whilst reducing Low LTV rates doesn't come as a shock and is more like "business as usual" for HSBC