Mortgage affordability, fees and charges | Mortgages | YBS
Mortgage fees and 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:
How much is it?Varies depending on mortgage deal but some do not include a fee. |
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| 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. |
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.
Initial interest with your first mortgage payment
Your first mortgage payment includes initial interest. This is the interest which is charged from the day we release funds to your solicitor to the end of the calendar month in which interest charging commences - please be aware of this to allow you to budget accordingly.
Three working days after completion we will issue a First Payment Letter which will confirm the amount of initial interest which has been charged, and the date on which the payment will be taken.
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.
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:
How much is it?Varies depending on mortgage deal but some do not include a fee. |
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| 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?See our Tariff of mortgage charges |
| 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?See our Tariff of mortgage charges |
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.
Call us or book an appointment
Speak to one of our friendly advisers about your options.
The cost of moving
When you're ready to purchase a property it's often easy to overlook the costs involved other than mortgage payments and your deposit.
The list below gives you a breakdown of all the different fees and charges you might need to pay when you're buying a new home.
| Deposit | This is the amount that you contribute to the overall cost of purchasing a property. How much you pay will depend on your Loan to Value (what proportion of the total amount is made up of the mortgage). |
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| Stamp Duty Land Tax | This is a government tax based on the value of the property. It is only applicable on properties where the purchase price is £125,000 or more. You can find out more about Stamp Duty on the gov.uk website. A different system is used in Scotland, called Land and Buildings Transaction Tax which is very similar to Stamp Duty. |
| Legal fees | If you are purchasing a new home or remortgaging with YBS you will need a licensed conveyancer (usually a solicitor) to carry out any legal work on your behalf. The cost is around £200 for carrying out any legal searches, with legal fees of typically £500-£1,000 on top of this. You can find out more about how to appoint a solicitor on our conveyancing page. Note: Some of our products come with a remortgage legal service provided through our chosen service provider. |
| Estate agent fees | This is a cost paid for the services of an estate agent and would only be applicable if you are also selling a property as well as moving to a new home. The cost is usually 1-3% of the total purchase price |
| Removal costs | You can hire a removal firm to move your belongings to a new property or you can hire a van and do it yourself, which may be cheaper. |