New HSBC best buy mortgage launched

Date:Thursday 25th March 2010
Author: Susanna Kavka

The bank will offer customers a 4.49 per cent lifetime tracker mortgage with a maximum 90 per cent loan-to-value ratio and no application fee from March 29th.

Andy Mielczarek, head of retail products for the bank, said the Budget announcement to exempt first-time buyers with homes of up to £250,000 in value from stamp duty is additional good news.

He added: "The combination of the stamp duty cut and our new mortgage deals gives first time buyers a healthy boost."

According to the Council of Mortgage Lenders (CML), it would be easier if all properties under the £250,000 limit were excused from stamp duty tax although in consequence it would be more expensive for the government.

CML estimates there will be 136,000 people taking advantage of the concession over the next 12 months and expects this will create a loss in revenue of £224 million.