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Re-mortgaging - What fees do I need to budget for?

(7 Posts)
clumsymum Thu 22-Feb-07 17:00:17

Last time we re-mortgaged we used a broker (Black and White), who rolled in all the fees to the mortgage, including 5 years repayment cover on dh's income, a "drive-by" survey, the mortgage arrangement fee, legal costs, and of course, their commission. This added a few thousand onto the value of the mortgage.

Our fixed period endded a couple of years ago, and we So we're looking to remortgage again, and I wondered if we could do it all ourselves, without having to add too much onto the figure (we need far below the value of the property, but want to keep repayments down).

Has anyone done this themselves recently. How much did it cost?

Also is there any point in contacting the Woolwich to say we're moving the mortgage? Are they likely to offer us a good deal on a fixed rate mortgage without loads of fees?

beckybrastraps Thu 22-Feb-07 17:05:06

Definitely contact Woolwich.

We used an online broker to find a mortgage. We said we wanted the deal which would give us the lowest overall costs over the two year fix. We ended up with Nationwide, free legals and valuation, an arrangement fee that we paid upfront (399 I think) and Nationwide paid the commission as far as I recall. Not added to our mortgage anyway. That certainly stayed the same.

clumsymum Thu 22-Feb-07 17:14:38

Becky, which broker please?

frogs Thu 22-Feb-07 17:25:18

Go to the money comparison websites and click around. There are search engines that will compare mortgages for you. Try The Motley Fool or Moneysavingexpert .

You shouldn't need to pay loads of extra costs -- last time we remortgaged we had to pay a booking fee of £199 iirc, and the mortgate company paid the legal and survey fees. No commission. That was with the Coventry Building Society. I'd be very reluctant to add fees onto the mortgage tbh -- repaid over 25 years it adds up to a hell of a lot.

It's a competitive market -- there are loads of lenders out there queuing up to lend money to people, so drive a hard bargain. And yes of course you should contact your current lenders, tell them what other deals you've been offered, and say that you're planning to move unless they match/beat the other offers.

beckybrastraps Thu 22-Feb-07 17:31:06

Can't remember Sorry

But agree with frogs - don't add fees etc to mortgage if you can possible avoid it.

We did a spreadsheet with the deals we found ourselves, plus the offer from our current building society, seeing whhich cost less over the two years of the fix, so we put in monthly repayments for 24 months, arrangement fees, legal fees, valuations etc. It was pretty easy really, and we came out with the same answer as the broker.

Eddas Thu 22-Feb-07 22:48:11

We have just remortgaged and have gone with Nationwide who imo are always really competitve.

We went through and estate agents mortgage adviser and we don't pay them anything. They get their money from the mortgage lender. If you want independant advice i'd definately go to an estate agent(think they all do it) and it shouldn't cost you anything(obviously check first).

I believe that most if not all mortgages have some kind of booking fee now, not necessarily legal or survey fees. Certainly with the Nationwide one we have choosen we do have to pay £500 booking fee but it has free legal and survey fees.

All i did was tell the mortgage adviser that i wanted to pay as little as i could fee wise and he recommend the right type. We have added the booking fee to the mortgage as we don't have £500 but it's not that much so not worreid about adding on, obviously if we had it i wouldn't IYSWIM.

Anyway hth.

Also, if you go through a broker you won't have to fill all the forms in as they do it for you, always a plus for me

Bubbaloo Fri 23-Feb-07 10:47:25

We moved our mortgage a couple of years ago(for the 2nd time) and used London and Country mortgages.They "shop" about for the best deal for you and don't charge a penny as they get their fees from whoever you decide to go with.From what I can remember we only paid about £200 each time and they were excellent.Would definately recommend them.

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