HSBC has cut rates across its residential, buy-to-let and international mortgage products, marking its third reduction in just two weeks and its second within a matter of days.
The move, effective from 11th July, affects a wide range of fixed-rate products across multiple loan-to-value tiers and buyer types.
The latest reductions span first-time buyer, home mover, remortgage, and energy-efficient home ranges, with products now decreased at up to 95% LTV.
Fee Saver and Premier Exclusive options are included in the changes, with significant cuts also applied to buy-to-let and international ranges.
Nick Mendes, mortgage technical manager at John Charcol, said: “HSBC has announced its third rate cut in just two weeks, and its second within a matter of days, in what looks to be a determined push to regain a leading position in the mortgage market.
“This latest move follows closely behind recent repricing from Barclays and Halifax, both of whom have trimmed rates across residential and buy-to-let ranges.”
Barclays rolled out reductions on 9th July, offering fixed rates below 4% on selected three and five-year deals for both residential and landlord customers.
Halifax followed with cuts of up to 0.15% on fixed rates for home movers and remortgages.
“In this context, HSBC’s latest rate change appears not just reactive but strategic,” said Mendes.
“With cuts applied across residential, buy-to-let, and international ranges, it is clearly aiming to re-establish itself at the top of the pricing tables.
“Falling swap rates and a softening outlook from the Bank of England have created the conditions for lenders to move more aggressively, and HSBC is taking full advantage.”
He added: “We have begun the next price war. With multiple big names now making successive reductions and competition intensifying by the day, the battle for best-rate positioning is well and truly underway.
“It would be no surprise to see further movement from other major lenders in the coming days.”
