According to the latest data from the research department of a mortgage referral firm, the Mortgage Rate Index (MMI) for April 2026, which reflects the actual mortgage interest rates generally available to new mortgage customers, stood at 3.24%, a slight increase of 3 basis points month-on-month. The firm's Chief Vice President stated that the policy path of the new Federal Reserve Chair will be closely watched by the market. However, given the recent sharp rise in long-term U.S. bond yields, ongoing geopolitical issues driving up energy prices, and the absence of accelerated deterioration in the U.S. labor market, it is anticipated that the Federal Reserve will keep interest rates unchanged at its upcoming meeting next month. In Hong Kong, the one-month HIBOR was reported at 2.6% today, having remained above 2.5% for 12 consecutive working days. It is expected that HIBOR will continue to fluctuate between 2% and 3%, with the actual interest rates for most new HIBOR-linked mortgages likely to stay around 3.25%. The executive further noted that the actual rates for most new HIBOR-linked mortgages are unlikely to fall below the cap in the short term, prompting more buyers to opt for low-interest fixed-rate mortgage plans offered by major banks. These plans offer a fixed rate of 2.73% for the first three years, 52 basis points lower than the current average rate of 3.25% for new prime rate and HIBOR-linked mortgage plans, allowing for immediate savings on interest expenses. It is expected that such plans will continue to attract customers, including some with non-fixed incomes or long-term investors. The MMI is anticipated to have room for further decline.
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