According to the China Fortune Financial APP, HSBC (00005) and BOC (02388) have successively launched fixed-rate mortgage plans, with a maximum lock-in period of 5 years and fixed interest rates ranging from 3.15% to 3.35%, lower by 0.525% to 0.725% compared to the current market rate of 3.875%. Wong Mei-fung, Managing Director of China Aisa Mortgages, believes that Hong Kong banks have introduced fixed-rate plans at the beginning of the rate-cut cycle to stabilize future interest income of banks, and believes it will not trigger a rate-cut war. This is because the current cost of bank funds remains higher than before. Due to the involvement of calculation and administrative work, it is estimated that not many banks will introduce fixed-rate plans.

Wong Mei-fung reminded that fixed-rate mortgage plans do not offer rewards or linked accounts to mortgage deposits. The interest rate level after the fixed term may also be higher than that of the floating-rate mortgage plan.

She mentioned that the utilization rate of fixed-rate mortgages in the past has been as high as nearly half, and if the market response is good this time, the utilization rate of fixed rates may also increase to 10% to 20%.

She also predicted that the Federal Reserve will still have a 1.5% rate cut space in the next two years, but the rate reduction in Hong Kong will not be synchronized with the United States. The interest rate next year may be around 3%.