Fixed-rate mortgage application fees soaring

Thu, 12 Jun 2008

According to a recent report by financial comparison site MoneyExpert.com, application fees for fixed-rate mortgage loans have soared in the last year. A study found that the number of mortgage products with application fees exceeding £750 had increased 14 times over the period.

Higher application fees on mortgage products are a way for mortgage lenders to recoup some of the money lost by charging competitive rates. With some 34% of the fixed-rate market now charging high application fees, the study says, mortgage borrowers need to choose their product carefully.

It appears that even those mortgage loans outside this bracket charge medium application fees. The director of MoneyExpert.com, Sean Gardner, reportedly commented: "Anyone looking to remortgage or to buy a property for the first time will need to recalculate their options if they haven't factored in fees. The days of fee-free mortgages are over and frankly getting anything under £1,000 is something of a coup."
add to favouritesnewsletterlink to this pagesend to friendpost comments

Link to this page

Copy and Paste the following HTML into your page.