Further bad news for First Time Buyers
HSBC is withdrawing mortgage products above 85 per cent LTV for new business from today, 2 September
As one of just a few large lenders offering products at LTVs above 85 per cent, HSBC says that sustained levels of high demand has impacted its ability to “consistently meet the high standards we set ourselves”, leading to the decision to pull the products.
The lender says it will continue to see existing pipeline cases through as normal and remains open for business as usual for the remaining LTV ranges it offers.
In a note to brokers, HSBC says it aims to confirm re-entry into the high LTV market in the coming weeks and hopes that other large lenders will also have returned by then.
The lender is also making changes elsewhere in its mortgage product offering, with an increase of rates.
As of this Friday, 4 September, rates will increase on the following products:
- the two-year fixed standard and fee saver products from 60 to 90 per cent LTV
- the five-year fee saver and fixed standard from 60 to 90 per cent LTV and 60, 80, 85 and 90 per cent LTVs respectively
- the five-year fixed premier 60, 80, 85, 90 per cent LTV
- the two-year term tracker at 60 and 90 per cent LTV
Full applications must be completed by tomorrow, 3 September to access a product from the lender’s current range