HSBC pulls some UK mortgage deals as fears of rising rates hits home buyers once more
CNBC 2023-06-09 12:56:52 • 3 mins
Key Points
- The U.K.'s biggest bank temporarily withdrew mortgage deals via brokerservices on Thursday, CNBC understands.
- A large number of fixed-rate mortgage deals is set to expire this year, leaving homeowners vulnerable to the impact of interest rate hikes, according to economic research company Capital Economics.
- There are also warnings that house prices will tumble in the next two years, with credit ratings agency Moody's forecasting a 10% decline.
LONDON The U.K.'s biggest bank temporarily withdrew mortgage deals via brokerservices on Thursday, as the effect of higher interest rates ripples through the British housing market.
HSBC told CNBC Friday that it was reviewing the situation regularly, but did not specify whether the new deals would differ from its previous offerings. Higher rates are a possibility, given that the Bank of England is continuing to increase interest rates.
It comes eight months after hundreds of mortgage deal offers were pulled in one day after market chaos at the time sparked concerns about rising base rates.
