HSBC opts in to Help to Buy
The lender said that it will be extending its current range of mortgages to include 90% to 95% loan to value products.
However these products will only be sold on an advised basis in the bank’s branch network and will not be available through intermediaries.
Antonio Simoes, chief executive officer of HSBC in the UK, said: “We want to support our home owning and home buying customers and recognise that particularly for first-time buyers, building the necessary deposit can be a real challenge.
“HSBC already offers some of the most competitive higher LTV mortgages in the market and currently promise to beat or match rates from our high street competitors at 90% LTV.
“By participating in Help to Buy, we will go further and offer mortgages up to 95% LTV.”
HSBC’s policy of no interest-only lending on mortgages above 75% LTV means that our Help to Buy mortgages will be available on a capital repayment basis only.
HSBC also confirmed that it is planning to offer Help to Buy mortgages between 90% and 95% LTV later this year.