Mortgage Fees Advice
When you purchase a property, or re-mortgage, you will normally incur various fees which you need to take into account. These are broken down as follows:
Stamp duty (on completion)
Valuation Fee (up front)
Lenders arrangement fee (usually added to the mortgage)
Solicitors fee (this might be free via some high-street lenders)
Valuation fee (this might be free via some high-street lenders)
Lenders arrangement fee
Sales and Purchase
Estate Agent Fees
Solicitors fees (for selling & buying)
Lenders arrangement fee
Insight Mortgages offer a no-obligation initial consultation, we charge a fee of up to £350 for our mortgage service which is payable when you apply for your mortgage, we will also receive commission from the mortgage lender on completion of the mortgage. The precise amount will depend on your circumstances and mortgage loan amount, and will be discussed and agreed before you make a mortgage application.
Paid up front, usually tiered based on purchase price (usually £250-£400). Each lender charges a different fee structure.
There are three main types of survey;
- Full Structural Survey; this is carried out by a qualified structural engineer and will examine in detail all aspects of the structural integrity of a property. This type of survey is a must for those buying properties of unusual construction or situated in unusual locations. The cost will be dependent on property type and location but expect to pay in excess of £1,000.
- Homebuyers Report; this goes into more detail than a basic valuation and contains information concerning energy conservation. They tend not to be a popular choice and they cost around £650 depending on property size and location.
- Basic Valuation; this is the valuation that will be instructed by the lender should you not wish a more detailed survey to be carried out. It should highlight most problems commonly found in average properties and if needed the valuer will recommend further, more detailed, surveys be carried out prior to release of funds. Typically this may be for damp, wood rot, electrical circuits, drains, etc. This is the most common survey carried out when purchasing a property. If conditions requiring more serious investigation are uncovered during the standard survey then you can instruct a structural engineer to carry out a ‘condition specific’ report e.g. if the property roof is found to have a sag in it. This will look at just the highlighted query and often comprises cause, remedy and estimates of repair costs. For most properties this route will be more cost effective than a full structural survey on the entire property. If you submit an enquiry we will be happy to discuss which type of survey may be most appropriate for your situation.
Lenders Arrangement Fee
Paid on completion (usually added to mortgage). Can range between 0% to 4%. Generally, the higher the fee charged, the lower the interest rate will be.