Get the property you’ve been waiting for with an HSBC Premier Home Loan
Competitive interest rates. Flexible repayment periods. Competitively priced home and contents cover. Now's the time to get the property you've got your eye on, with HSBC Premier Home Loans.
| Loan to Value | Interest rate | Repayment Period | Home and contents cover | |
|---|---|---|---|---|
| Up to 85% | LIBOR + 3.50% | Up to 25 years | Competitive pricing |
Here's what you get:
- Home loans for any ready property in Lebanon
- Help with buying a new or resale property
- Competitive interest rates - starting at LIBOR + 3.5% p.a.
- The monthly instalment can go up to 60% of the total calculated monthly income
More great benefits:
- Up to 85% of the purchase price or the valuer's assessment, whichever is lower
- Buy out your existing mortgage or apply for a new one
Plus:
- No minimum interest rate second year onward
- Loan terms of up to 25 years or until the age of 65 for the loan maturity
- Competitively priced life, buildings and home contents insurance
Overpayments
Save a significant amount of money with overpayments, by reducing the interest on your loan. You can overpay with an overpayment fee of 1% on paid amount. Please note these can be done at anytime of the loan life cycle. Once you make an overpayment, there will be no re-draws available against it in the future.
Competitive rates
The interest rate applied is LIBOR + 3.5% with no minimum rate second year onward.
LIBOR is equal to the average of (one year USD LIBOR) updates for last quarter.
Option of repayment between Fixed or Floating EMI (Equally monthly installment).
You can get a Home Loan if:
- You're a Lebanese National
- Minimum salary of USD 1,500 (income includes all the salary of the spouse if required)
Interest rates
The interest rate calculation of the current "HML with no minimum interest rate and fixed Equal Monthly Installment (EMI)" as follows:
It is a variable interest rate reviewed on a yearly basis depending on the new LIBOR, for Premier Home Loan the rate is LIBOR + 3.5%. As the EMI are fixed then the tenure of the loan will increase or decrease based on the new rate however for floating EMI the tenure of the loan will remain as per the contract but the yearly EMI will either increase or decrease depending on the interest rate applied.
Insurance
The insurance premium is being reviewed by the Insurance company depending on the customer profile and will be deducted on a monthly along with the monthly installment date.
Account set-up fees
| Arrangement fee | 0.6% of loan amount | Charged on the amount of the approved loan. To be paid at the time of approval. |
|---|---|---|
| Property valuation fee | USD 150 – 500 (depending on the property: house or villa) | Charged on the customers once applied on HML |
Account management fees
| Early settlement fee | 1% on amount paid | At anytime during the loan life cycle, an additional payment is allowed charged of 1% fee |
|---|---|---|
| Loan Closure fee | 1% - min USD 200 | Total early settlement charges |
| Late Payment fee | USD 20 | To be paid if more than 5 days overdue |
What does the HSBC Home Loan provide?
It provides the opportunity for national customers, to borrow money for the purchase of any residential developments in Lebanon.
Do I have to have an HSBC bank account to apply for an HSBC Home Loan?
Yes, however you can apply without being a current HSBC customer and we will arrange an appropriate account for you if you are approved for a Home Loan.
Who is eligible?
For a Premier Home Loan, you need to be a Premier customers by having a minimum deposit of USD 100,000 or whatever equivalent in other currencies.
Does the HSBC Home Loan apply to any property?
The Home loan applies to any new property or resale one.
What are the principle features of HSBC Home Loan?
The principle features are:
1. Variable rate of interest based on the LIBOR reviewed on a yearly basis.
2. No minimum interest rate applied second year onward.
3. Maximum Tenure: a maximum term of 20 years (subject to repayment before 65th birthday).
Finance amount up to 85% of the purchase price or the professional valuation, whichever is lower.
What are the advantages of HSBC Home Loan?
- We offer a home financing solution for the Lebanese residing in Lebanon with competitive rates
- A discounted rate for Premier customers
- As a major international bank we are also able to offer our Premier clients a full range of financial services and products - i.e. me2me transfers, money remittance services, Credit cards, Personal loans, Vehicle finance, Financial Planning services, Telephone and Internet Banking etc.
How is interest for HSBC Home Loan calculated?
Interest is calculated on the daily balance outstanding on your Home Loan account. Your monthly installment will be applied to your outstanding balance, plus the interest accrued.
How do I apply for HSBC Home Loan?
Call 01-36HSBC.
You can discuss your needs with a member of the HSBC Home Loans team, who will conduct an initial fact find interview to ensure that you have a full picture of what is required.
What happens if I sell the house before the Home Loan is paid off?
We will require you to repay the outstanding Home Loan amount and interest owing up to the time of sale.
Can I arrange my own insurance?
Yes, Customers can take insurance for life and property cover arranged by HSBC, or provide their own cover through an approved insurer and assign it to HSBC. If a customer makes their own insurance arrangements there will be a cost involved in the assignment of the policies and the borrower must pay these costs. Fire & life insurance are both mandatory.
What is the Mortgage Closure Procedure?
If you are planning to close your mortgage account with us, we request you to let us know the appropriate scenario applicable. This information is required by us in order to issue you the relevant liability letter.
Basic charges for per mortgage settlement will be:
| Mortgage settlement Fee | 1% - min USD 200 |
|---|---|
| Mortgage certificate balance | FREE |
Don't miss out on your dream home.
