HSBC offers best bank mortgage
According to What Mortgage Magazine, the HSBC – one of the UK's leading banks – offers the best bank mortgage available nationally.
The bank has claimed the title for having the best home loans for the sixth consecutive year, and is said to offer mortgages and home loans that are better value for money than other banks. The closest contender for the title, according to What Mortgage, was Intelligent Finance.
According to reports customers that have taken out a mortgage or home loan with HSBC have enjoyed better value for money for five years already. What Mortgage Magazine awarded the title to HSBC after working out the interest that a consumer would pay on a £100,000 mortgage with the bank compared to other national banks. This worked out to nearly £1,000 less over five years than Intelligent Finance, and nearly £6,000 less than those with the Bank of Scotland.
However, despite the great value mortgages that are on offer from the bank, the rising interest rates and rising property prices in the UK are still making it difficult for many to consider purchasing a property, with recent reports suggesting a six percent drop in the number of mortgages taken out compared to last month.
An economist from Global Insight stated: "Housing market activity is now gradually coming off the boil as higher interest rates and elevated house prices increasingly squeeze new buyers out of the market and make it more difficult for existing house owners to trade up."
Interest rates are expected to continue rising in order to try and bring inflation under control, and a further rise is expected to be announced later this week with another one predicted for the summer. Some think that the rate could rise to 7.5 percent or more as the Consumer Price Index has now broken through the three percent barrier for the first time in ten years.
Tom Smith
4th May 2007
More Information:
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