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Mortgage fees& costs

When you apply for a mortgage, you will incur some costs. Use our guide to find out what these are and how they could affect you.

We’ve been working hard to unravel the complexity around mortgage affordability and any associated fees in an effort to help you better understand what you may, or may not, have to pay.

Our guide to mortgage fees & charges outlines the costs involved in applying for a mortgage along with some that you may not have considered, such as of the costs of moving.

Mortgage fees and charges for your application

Product fee What is it for?
This is a fee paid to secure a particular mortgage deal.

When is it paid?
It needs to be paid before we can provide you with a mortgage offer. You can pay the product fee:
  • upfront as part of your application or
  • add it to the cost of the mortgage and pay it off as part of your monthly repayments.
How much is it?
Varies depending on mortgage deal but some do not include a fee.
Standard valuation fee What is it for?
This fee covers the cost of us carrying out a valuation of the property to be mortgaged (or remortgaged).

When is it paid?
This fee should be paid as soon as possible at application stage to avoid any delays in us issuing you with a mortgage offer.

We will instruct a valuation to be carried out as soon as we receive payment of this fee from you.

How much is it?
The cost of a valuation (and any connected survey) depends on the property being mortgaged and the type of survey you select (if applicable)

See our guide to Mortgage valuations & surveys for full details.
Higher Lending Charge (HLC) What is it for?
This is sometimes payable by you, to cover the higher risk of lending at a higher Loan to Value (in this case 75% LTV). This protects us against the risk of a borrower defaulting on the mortgage and us as your mortgage provider, being unable to sell the property for enough value to cover the outstanding amount.

How much is it?
For more information on whether you have to pay a Higher Lending Charge, please read this section in our lending criteria.
Product switch fee What is it for?
This fee is payable should you wish to switch to another mortgage deal after submitting your application. This covers the costs incurred when we reserve your mortgage deal.

When is it paid?
As soon as possible after submitting your application.

How much is it?
£90

 


Tariff of Mortgage Charges

To help you better assess the full cost of a mortgage over its term you may also find it useful to refer to our Tariff of mortgage charges which lists all our mortgage-related fees.

Tariff of mortgage charges (168 KB)

 

Moving costs

When you're ready to purchase a property it's often easy to overlook the costs involved other than mortgage payments and your deposit.

Our 'Moving costs' list gives you a breakdown of all the different fees and charges you might need to pay when you're buying a new home.

Moving costs

Mortgage administration fees

Depending on your circumstances and the details of your application, there be some applicable administration fees you have to pay when buying your new home and during the term of your mortgage.

Mortgage administration fees

Trouble paying your mortgage?

If you find that - for whatever reason - you cannot pay your mortgage, call us free on 0800 138 2402 as soon as possible so we can try to help you. Click on the button below to read our guide page on what could happen if you're not able to pay your mortgage. This information also includes details on arrears fees and costs relating to litigation and taking possession of your home.

 

 

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Changing your mortgage

If you wish to make a change to an existing mortgage held with us, there may be fees and charges applicable. Read the table below to find out which charges apply in these circumstances:

Product fee What is it for?
This is a fee paid to secure a particular mortgage deal - this is applicable for existing mortgage customers who are switching to a new deal, borrowing more on their current deal or taking out a new deal as part of moving home.

When is it paid?
It needs to be paid before we can provide you with a mortgage offer. You can pay the product fee:
  • upfront as part of your application or
  • add it to the cost of the mortgage and pay it off as part of your monthly repayments.
How much is it?
Varies depending on mortgage deal but some do not include a fee.
Early repayment charge What is it for?
A fee paid for repaying (or redeeming) your mortgage early. This is also applied if you overpay your mortgage in excess of the overpayment limit or transfer (in full or in part) to a new mortgage deal or the Standard Variable Rate.

When is it paid?
The charge only applies during the special rate period of your mortgage deal.

How much is it?
The early repayment charge on specific mortgage deals is calculated at the interest rate applicable for the year in which the repayment of the mortgage, repayment in excess of any overpayment limit, or transfer occurs.
Find out more about Early Repayment Charges.
Revaluation fee - changing your mortgage deal or borrowing more What is it for?
A charge applied to revalue your property. If you are borrowing more, we may need to carry out a new valuation, but we will tell you if this is the case. If you are switching mortgage deal and dispute our valuation of your property, we can arrange for a new one.

When is it paid?
This fee is payable in full at application and cannot be added to the loan amount.

We will instruct a valuation to be carried out as soon as we receive payment of this fee from you.

How much is it?
A non-refundable fee of £70 is charged in these circumstances.
 
Standard valuation fee - moving home What is it for?
A valuation needs to be carried out if you are transferring (or 'porting') your mortgage deal to a new property and a fee is charged for this.

When is it paid?
This fee is payable in full at application and cannot be added to the loan amount.

How much is it?
The cost of a valuation (and any connected survey) depends on the property being mortgaged and the type of survey you select (if applicable).
See our guide to Mortgage valuations & surveys for full details.
 
Transfer of equity What is it for?
A one-off fee that we charge for processing an application to add or remove someone to/from your mortgage, as part of changing the legal ownership of a property.

When is it paid?
This charge is applicable at application.

How much is it?
£160

 

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Need some help?

Visit us

You can visit us in branch to speak to a mortgage adviser.

Call us

Speak to one of our friendly mortgage advisers about your options

0345 166 9510*

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