Is HSBC serious?
HSBC Middle East announced it has re-entered the mortgage market, but will only cater to those who ear AED20,000 and above.
April 1, 2009 2:21 by Dana El Baltaji
Arabian Business published an article on Wednesday claiming HSBC Middle East will offer mortgages again. The bank stopped offering mortgages and raised the salary requirement for personal loans to AED20,000 late last year.
“HSBC continues to be a responsible lender and as such the offer is primarily targeted at end-users who have recently faced acute difficulties getting affordable mortgage finance,” Abdulfattah Sharaf, CEO of Personal Financial Services, Middle East said.
The bank will offer 75 percent financing on completed villas, 70 percent on completed apartments and 50 percent on off-plan units, at a minimum interest rate of 8.5 percent.
Only those who earn AED20,000 and above are eligible.
So what happens to people who don’t earn AED20,000? Aren’t they end-users too? And haven’t they also ‘faced acute difficulties getting affordable’ mortgages?