Mortgage Fees at 4 Year High
Although mortgage rates are some of the lowest on record, mortgage fees are a different story. Mortgage fees for those looking to remortgage have hit a four-year high with many homeowners paying in excess of £1000 in fees. The same month of July last year saw the average fixed rate mortgage at £986.
Too often, people are all too focused on the interest rate rather than looking at the bigger picture. Key Facts Information is provided with all mortgage offers and should be studied carefully, asking a Mortgage Broker or Adviser to fully explain the costs and to draw comparisons with other mortgage products is not an unreasonable request. This comparison should help explain the true cost of borrowing and help the consumer choose the right deal.
Few people understand that more often than not, some borrowers may be better off choosing a slightly higher interest rate with a lower fee or even no fee when it comes to remortgaging their property.
Many mortgages will allow the consumer to add the fee to the amount of mortgage borrowed however this naturally increases the amount to be borrowed and in turn pushes up monthly repayments. In this case the Mortgage Broker will most likely advise that the fee is paid upfront.
It really is crucial to get specialist, tailored advice when choosing a new mortgage. What may be right for one person, or may look a great deal on the surface, may not be the right choice for you.
Research found that the highest fee on a fixed rate mortgage was an enormous £4,000! This could soon push up the cost of borrowing and see monthly repayments increase too.
So if you don’t want to get stung with the wrong deal, speak to a professional and qualified Mortgage Broker today, give us a call on 03333 44 85 11 or email us at firstname.lastname@example.org