There are numerous fees associated with a mortgage application, and we have given details of the most common fees below.
This fee covers the administrative expenses incurred whilst processing your application. This covers such things as applying for references, credit checks, voter's roll checks and the general costs for staff time.
Existing / Previous Lender Reference Charges
This charge is applied if you already have a mortgage and a reference is required from that lender. In some circumstances this charge can be avoided if your annual mortgage statements and bank statements prove satisfactory conduct.
Booking And / Or Arrangement Fees
This charge may apply to specific products and is payable in advance, added to the loan or deducted from the advance upon completion. Our advisors will make your aware of such fees from the outset.
Higher Lending Charge
A lender may impose a charge if the amount required is higher than a certain percentage of the property value, and will either deduct it from the advance or add it to the loan. Our advisors will ensure you are made aware if this charge applies to you, and if so, the amount and the method of repayment.
The money gained fro this fee will be used by the lender to indemnify themselves against any financial loss they may experience should they have to repossess the property due to payment default(s). Although you pay this fee, it will only benefit the lender or any insurer involved, in trying to recover all or part of the loss involved.
This cover will not protect you if your property is subsequently taken into possession and sold for less that the amount you owe. You will still be liable to pay all the sums owing, including arrears, interest and your lender's legal fees and interest - that will continue to mount up as long as the mortgage is outstanding.
We may charge a fee of up to 1% of the advance (payable at completion). This will depend on your personal circumstances, a typical fee would be 0.4% of the advance, for example a loan of £100,000 will extract a fee of £400.00.
The guidance and or/advice contained in this website are subject to UK regulatory regime and therefore are restricted to consumers based in the UK.
Think carefully before securing other debts against your home.
Your home may be repossessed if you do not keep up repayments on your mortgage.