The new fee-free lifetime tracker rate is available to HSBC current account customers and tracks base rate plus 1.99%, currently 2.49%.
Peter Dockar, head of mortgages at HSBC, said: "We are committed to offering our customers competitive rates including those with smaller deposits.
“The fee-free 50% LTV rate is in response to demand from our customers, more than half of those taking a 60% LTV product have more than 50% equity in their homes."
HSBC will also cover the cost of one standard valuation where this is required by HSBC as part of the mortgage application.
Additionally where it is a straight forward transfer from another lender HSBC also pays the standard legal costs.
