Mortgage war among local banks might upgrade following the lastest moves in polices of mortgage rate between HSBC and BOC(HK).
HSBC launched the new favourable mortgage rate Wednesday to gain the larger shares in market, which led to another round mortgage war among the local banks.
For this new move of HSBC, the rival BOC(HK) responded the bank will take close attention on the changes in market, and make suitable adjustment if necessary, to remain its share of the mortgage business in market, as the property mortgage is the important operation of the bank. As for whether BOC will gear down the rate, bank's vice director and CEO He Guangbei said they are still studying the question and don't make a dicision.
He said also the consecutive rate hike in early time, the demand for mortgage dropped, which led to the more furious competition in market.
Sources in sector unveiled the profit from mortgage business is the best part in local banks' business revenue, so the banks in HK pay attention to the mortgage business. They launched all kinds of favourable mortgage policies in early this year.