what is the most i should pay for mortgage lenders fees?

Posted by admin on April 30th, 2010 and filed under mortgage lenders | 3 Comments »

I have shopped around but cant get the amount that i need,this is the only lender which is able to get what i need,and is 6.78% fixed rate for 2 years a good rate? lenders charge is £1999 added to the mortgage and introducers fee of £499
any help will be much a appretiated

It is difficult to answer this question without knowing the circumstances of your application. Nevertheless, any application made to a lender is judged, by the lender, on its merits and the risk the application presents to the lender; it is important to remember that all lenders operate in the mortgage market to make money. Any deal that is presented to the market is offered on the principle that someone will accept the deal, otherwise there is little point in marketing such a proposition. Currently fixed rate deals are not in great supply, therefore any deals that are out there that, on the face of it look attractive, tend to be more expensive. The lender needs to recoup their costs of bringing fixed rate money to the market; in this case the lender has chosen to pass these costs directly onto the customer, up front. Other lenders choose to apply extended tie-ins with redemption penalties, either way, they will recoup their costs one way or another.

3 Responses

  1. Nicola S Says:

    that doesnt sound the best. i am a mortgage adviser myself. it depends on your situation but i think i could find you a better product than that, and charge you only £100 introducer fee. where do you live?
    References :

  2. paul r Says:

    Hi I’m a mortgage advisor the best way to work it out is how much the mortgage payments would be based over the 2 years. You may find that by paying a £1999 fee that over 2 years you would save money. If you need any help feel free to contact me. 6.78% seems high is it an 100% mortgage?
    References :

  3. Unbiased.co.uk Says:

    It is difficult to answer this question without knowing the circumstances of your application. Nevertheless, any application made to a lender is judged, by the lender, on its merits and the risk the application presents to the lender; it is important to remember that all lenders operate in the mortgage market to make money. Any deal that is presented to the market is offered on the principle that someone will accept the deal, otherwise there is little point in marketing such a proposition. Currently fixed rate deals are not in great supply, therefore any deals that are out there that, on the face of it look attractive, tend to be more expensive. The lender needs to recoup their costs of bringing fixed rate money to the market; in this case the lender has chosen to pass these costs directly onto the customer, up front. Other lenders choose to apply extended tie-ins with redemption penalties, either way, they will recoup their costs one way or another.
    References :
    Ian Hudson – Principal, Hudson Green Associates
    Ian is a general practitioner IFA who holds a specialist knowledge and insight into ethical and environmental investment. He has worked in the financial services industry since leaving University, working with clients from a wide range of backgrounds.

    The answers above are for guidance only and should not be acted upon without you receiving independent financial advice relevant to your circumstances. To find an IFA please call 0800 085 3250 or go to http://www.unbiased.co.uk.

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