Mortgage application fees on the rise
March 19, 2007 by admin
Filed under News, News-Mortgages
The fees charged for a mortgage application have almost doubled in the last three years, according to website Find.co.uk.
Figures, obtained by Defaqto, show that the average application fee for a fixed-rate mortgage now sits at £611, a massive increase on the £334 that was charged in February 2004.
The disparity between the highest and the lowest fees is also more pronounced in 2007 than it was in 2004.
Three years ago the cheapest was £149 from Darlington Building Society, while the most expensive was £2,5000 charged by Bank of Scotland Mortgages Direct.
In 2007 the smallest fee is £49, charged by Halifax, while the largest is £2,499 which is charged by Bank of Scotland.
Kate Marsden, marketing director at Find.co.uk, commented that those who are taking out a loan to buy a home need to do their homework first if they want to get the best deal.
“Borrowers need to do their sums to calculate the total cost of a mortgage, including all fees, so they can compare like with like when assessing different deals,” she said.
“After all, that upfront mortgage application fee could be your redecorating fund.”
If you are looking to get a mortgage make sure you shop around for the deal that is best suited to you.
