When you take out a new mortgage to replace your old one (remortgage), it can see you having to pay a variety of fees in order to get the right deal for your current circumstances. Some remortgage fees may be anticipated, but to avoid any surprise costs, and to help you plan for your new mortgage, here’s what to expect.
Remortgage fees vary depending on what you are doing, and which lender is used but we’ll cover the main options for now:
- Broker/Adviser fee
- Lender arrangement fee
- Valuation cost
- Telegraphic transfer fees
- Solicitor/conveyancer fees
- Stamp duty in certain scenarios.
When we look at your next mortgage, we generally have a very similar conversation with all our clients, whether it’s talking about a residential or a buy to let mortgage. That’s because we need to get a clear understanding of your wants and needs for this next mortgage.
What information is needed for a remortgage?
The basic data required for a remortgage centres around your current circumstances; what you’re aiming for in terms of the monthly mortgage payment and how this fits in with your house hold expenses.
We’ll ask you about;
- The current mortgage and whether this worked for you
- Whether you’d like to make changes to the loan size to gain funds for home improvements*, for example
- Affordability – do we want to look at extending the term to help with an increase in mortgage rates (subject to criteria)
- How long you’d be happy to be locked in for and what factors affect that decision; school, work, upsizing and downsizing are all discussed.
With this information we can look at the various options available to you and discover;
- What the current lender will offer to you as an existing client
- What the other lenders will offer to you as a new client.
Once we have had those conversations with you and completed the above research, we’re then in a position to submit a new application and secure the right option for your remortgage.
All the advice, conversations and research we’ve covered in this article is free from charges. You can have as many conversations with us as you need to feel confident in your decision making, and there will be no charge even when the lender agrees your case and makes a mortgage offer.
To find out more about what the current remortgage market can offer you, call Marc Kavanagh on 01869 255799 or email mk@mkmortgages.com today.
* Think carefully before securing your debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
