HSBC UK has updated its Energy Efficient Home Cashback mortgage to make the cashback of up to £750 available to more borrowers.
The mortgage was launched by HSBC last year to encourage homebuyers and remortgagors to improve the sustainability of their homes.
The lender will give cashback to borrowers if a home being bought or remortgaged to HSBC has an Energy Performance Certificate (EPC) rating of A or B. This will be in addition to any other cashback available on the borrower’s chosen mortgage in cases submitted through mortgage brokers.
The bank has now extended this to people applying to HSBC directly.
Since launching, the cashback available has increased from up to £500 to £750 or £1,250 depending on the mortgage selected, meaning a borrower taking a mortgage with other cashback incentives can receive up to £1,750 in total.
Oli O’Donoghue, HSBC UK’s head of mortgages, said: “The introduction of our Energy Efficient Homes Cashback mortgage has been very popular, with thousands of homeowners making sustainable choices in addition to having a home with reduced energy bills and benefitting from our cashback incentive.
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“We know that some customers prefer to come to us direct and not through a broker, so I am pleased those customers will now also have this cashback mortgage available to them, giving them another reason to make a sustainable choice.”
This comes after HSBC made reductions of up to 0.47% to its mortgage rates.
This includes cuts of up to 0.16% across two-year fixed residential mortgages and reductions of up to 0.15% on five-year fixed residential mortgages.
HSBC has also cut existing customer switcher rates by as much as 0.47%. Additionally, buy-to-let (BTL) remortgage rates have fallen by up to 0.23%.
O’Donoghue added: “The start of a new year often brings resolutions of spending less, saving more, or moving house at the upper end of the financial decisions scale. We are firmly focused on helping customers onto or up the property ladder, whatever the time of year, and we are committed to providing some of the best mortgage options available to help our customers achieve their homeownership goals.
“While mortgage rates have been in flux during 2024, moving up and down regularly, these rate cuts so early in 2025 will be a welcome move to those with homeownership new year resolutions.”
