As well as budgeting for all the costs involved in buying a property, make allowance for the fees you may be charged for setting up your mortgage.
These include:
- Valuation fee, which pays for a professional mortgage valuation - the figure on which the lender will base the final mortgage offer. You can avoid this fee by choosing one of the special deals where the lender bears the cost of the valuation or refunds the fee if the mortgage goes ahead.
- Arrangement fee, to cover the administration costs of setting up the mortgage, although not all lenders charge a one-off fee for this.
- Looking fee, which you are likely to have to pay if you choose a mortgage deal where the rate of interest is fixed, or discounted.
- Legal fees, for the cost of creating a mortgage documents, unless - as it usually is - this work is undertaken by your conveyance and so already included in the other legal fees.
Favourites (IE)
Print This
Email This
