The deal sneaks in at 0.01% lower than the previous market-leader Barclays, which offers 1.70% fixed for five years but with a fee of 1,499.
In total, 14 fixed rates have been cut by 0.25%. The bank is now offering a 90% LTV two-year fixed rate at 1.94% with a £999 fee and a fee saver option of 2.34%. The fee saver option means the product has no booking, valuation or completion fee.
A 0.25% cut its 10-year fix has brought the rate down to 2.69% available up to 70% LTV with a £999 and free valuation.
The rate cuts are available for first-time buyer deals, purchases and remortgages.
Tracie Pearce, HSBC’s head of mortgages in the UK, said: “Following the Easter break, the home-buying season should soon be in full swing. These rate cuts across our range of LTVs will help those buying for the first time as well as those moving home or wanting to remortgage.”
Last week, the lender added Intrinsic Financial Services and Knight Frank to its panel taking the total number of firms distributing HSBC mortgages to 18 accounting for around 50% of the broker market.