Any type of mortgage application can be stressful and confusing, which is why we have made this step-by-step guide to support and inform you throughout the remortgage process.
Exit fees - Many mortgage providers include an exit fee in their mortgage terms and conditions. This is different to an early repayment charge and can often be several hundred pounds.
Application and product fees - You will usually have to pay an application or product fee of up to £2,000 to cover the administration costs of your new mortgage. This will add a considerable cost to moving your mortgage, so make sure you check exactly what fees you are paying and if there is any way that your new lender can reduce them.
Arrangement fees - Most lenders will charge an arrangement or booking fee when you apply. They may consider adding this to the overall loan, reducing upfront costs, but you will pay interest on this fee during the mortgage term.
Legal fees - For any purchase, you will need a solicitor to complete all the legal work. The price of this service can vary from company to company, on average these fees could cost between £500-750 +VAT.
Survey/valuation fee - All lenders will insist that a valuation is carried out on a property. This will only confirm the property value; it will not assess any potential problems or need for future repair or maintenance. Valuation fees typical cost between £150 and £1,500 depending on the value of the property and the level of survey you choose. If you had a homebuyers report or a full structural survey completed when you purchased your property then you may not need to have a full survey when you remortgage. We may charge a fee for our services which will be clearly explained before you agree to proceed.
For more information or to discuss the options available to you for your circumstances, please get in touch with our team of advisors.
To find out more about mortgages, personal insurance, business insurance and protection or to discuss the options available for your circumstances, contact our team of advisors