HSBC become latest lender to cut rates

HSBC has become the latest lender to cut mortgage rates with predictions suggesting that more banks and building societies will follow suit in the coming weeks.

HSBC announced that its new deals will be introduced on Thursday 4th January and will include a two-year fixed remortgage rate of 4.49% and a five-year deal of 3.94%.

The move comes just days after Halifax reduced their rates by up to 0.83 percentage points, including a two-year deal of 4.68% with a £999 fee.

Meanwhile Leeds Building Society also announced they were reducing rates across its mortgage range by up to 0.49 percentage points.

Several other lenders cut their rates just before Christmas - including Barclays, which reduced its deals by up to 0.43 percentage points.

According to figures from Moneyfacts, the UK's average two-year fixed mortgage rate has now dropped to 5.92% with the average five-year rate also dropping to 5.53%.

For more information about the best current rates available, get in touch with our mortgage advisor Becky Hughes on 02921 672480 or email: becky.hughes@grosvenormay.co.uk.