HSBC UK Announces Residential and Buy-to-Let Mortgage Rate Changes: What Borrowers Need to Know

Important Update on HSBC Mortgage Rates

From Tuesday 30th September, HSBC UK will be updating its residential and buy-to-let (BTL) mortgage rates. These changes apply across new purchases, remortgages, existing customer products, energy-efficient home ranges, and select international offerings. This guide provides a clear summary of what’s changing, who benefits, and how you should respond as a prospective UK borrower.

At-a-Glance: Key Mortgage Rate Updates

• Residential and BTL products: Mixture of rate increases and reductions, depending on product type and borrower status.
• First-time buyers and home movers: Most 2-year and 5-year fixed rates are decreasing, including ‘fee saver’ and ‘high-value’ mortgages.
• Existing customer switches/borrowing more: Most fixed rates are increasing.
• Remortgages: Several ‘fee saver’ and standard fixed rates will decrease at popular loan-to-value (LTV) bands.
• BTL (Buy-to-let): Majority of fixed rates for both purchases and remortgages are increasing.
• Energy-Efficient Mortgages (A&B EPC rated): Many rates are decreasing for home movers and remortgages.

New Rates & Product Changes by Borrower Type

First-Time Buyers & Home Movers

• 2 and 5 year fixed ‘Fee Saver’ and ‘Standard’ rates at key LTVs (60–95%) are decreasing.
  Example: Lower entry costs for those with modest deposits or those purchasing energy-efficient homes.
• High-value mortgages at 60–75% LTV and Premier Exclusive products at a wide range of LTVs are also seeing rate cuts.

Existing Customer Switching or Borrowing More

• Majority of 2 and 5 year fixed rates (across ‘Fee Saver’, ‘Standard’, and Premier tiers) are increasing at 60–90% LTV bands.
• This means remortgaging or borrowing additional funds may become more expensive after 30th September.

Remortgages & Cashback Remortgages

• Selected 2 and 5 year fixed rate remortgage deals are decreasing at 60–75% LTV, making refinancing more attractive for many borrowers.
• Cashback options and energy efficient products also benefit from rate reductions, especially at lower LTVs.

Buy-to-Let (BTL) Mortgages

• Most 2 and 5 year fixed BTL rates for existing customers, new purchases, and remortgages are increasing at 60–75% LTV, including Premier Exclusive options.
• However, no reductions are seen for BTL; landlords should review their applications promptly.

International Mortgage Products (For Eligible Brokers)

• Selected international residential rates are decreasing, while most international BTL rates are increasing.
• If you are eligible for these products, review implications directly with your adviser.

Updated Criteria & Important Policy Notes

• Premier Exclusives: Only available to HSBC Premier current account holders. The account must be open before application – otherwise, standard rates apply. Accounts opened after application can still be upgraded via a specific amendment process.
• Rate Guarantee: To secure current (lower) product codes/rates, submit applications by midnight, 29th September. All paperwork must be provided within 30 days of submission.
• ‘Energy Efficient’ ranges are available for A & B EPC rated properties, offering preferential rates for greener homes.
• Product finder and sourcing systems update on Tuesday 30th September. Double-check eligibility before applying.

Who Benefits Most from the Latest HSBC Rate Changes?

• First-time buyers and movers – benefit from lower rates, particularly with smaller deposits or on energy-efficient homes.
• Remortgage applicants – enjoy reductions at low LTV bands, including cashback options and energy-efficient property owners.
• Landlords (BTL) – should act quickly; with most rates increasing, now is the time to secure existing deals where possible.
• HSBC Premier account holders – have access to exclusive lower rates, but must meet the eligibility criteria in advance.

Why Choose HSBC as Your Mortgage Lender?

• Comprehensive product range: Options for first-time buyers, home movers, remortgages, BTL investors, and international buyers.
• ‘Fee Saver’ and cashback offers: Help reduce upfront costs.
• Specialist products: Including support for greener, energy-efficient homes.
• Premier customer perks: Access to exclusive rates for eligible account holders.
• National presence: Backed by HSBC’s global strength and reputation.

What Should You Do Next?

The current rate updates make timing crucial. If you are a buyer, remortgager, landlord, or planning to borrow more, contact our mortgage advice team today to review your best options and secure a rate while available. We can help you determine your eligibility and guide you through all necessary paperwork before the deadline.

FAQs: HSBC UK Mortgage Rate Changes

• Who qualifies for HSBC’s Premier Exclusive mortgage rates?
  Only existing HSBC Premier current account holders qualify. The account must be opened before the mortgage application is submitted.
• How do the latest HSBC mortgage rate changes affect my repayments?
  Lower rates reduce monthly payments; increases will result in higher repayments. Check your specific product type and LTV band.
• Are there benefits for buying energy-efficient homes?
  Yes, HSBC offers reduced rates on select mortgages for A & B EPC rated properties, rewarding greener home choices.
• Can landlords still access competitive buy-to-let rates?
  BTL rates are mostly increasing—landlords should act swiftly to secure existing lower rates if eligible.
• What’s the deadline to secure current (pre-change) HSBC mortgage rates?
  You must apply by midnight, 29th September, with full documentation due within 30 days, to access current product codes/rates.